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Is selling virtual items legal ?
ThomasN7
87.18.7.148Member CommonPosts: 6,690
We had cash shops and now we're getting a real money auction house in DIablo 3 but is it legal. Where does it say it is legal or not in any form of government ? Has there ever been a vote on the legalization of selling computer made objects ? Does anyone have any idea on this or has everyone just taken it for granted it is legal because companies are doing it and nothing has happened to them yet. Your thoughts ?
30
Comments
I'm fairly sure its legal.. I'm no lawyer and I can't quote statutes and what not...
but I figure as long as its not against the terms of service of a game.. its legal... and even if it is against the terms of service idk if it would be a criminal or civil type of court case :
It depends really. Considering these games encompass the entire world in most cases, and individual governments have different laws, not 1 worldwide law, ther ereally isnt anything that could be done about selling virtual items even if it was illegal. The only time when it is considered illegal, though viewed and enforced differently in different countries, is if the company who owns the product says it is illegal (intellectual property rights, etc). If the company runnin the game has their own system in place for the sale of its virtual items, then obviously it wouldnt violate any of their "rights", since theyre the ones running it. Using 3rd parties for the sale of virtual items however is illegal.
BTW, Diablo 3 wont be the first game to do this. Its been around for years in game slike Runes of Magic (though it was removed due to Frogster's greed) and Rohan. F2P games with an AH / market that allows you to exchange ingame items for cash shop credits allowing you to buy things without spending real $.
Yes it is known as Intellectual Property because it is an intangible assest but worth something to the people who have/seek them.
It has been an active and legal part of the game Entropia Universe (formaly known as Project Entropia) for some 10 years or so. Goverments have investigated it and found it to be legal.
I got this dagger in a loot last year and ended up selling it for 4,000$ usd (40,000ped) most of which I withdrew into my bank account.
The idea is old, its amazing that more people havent heard of it before.
narfi
Playing with Real Money: Colonizing Virtual Worlds
The real question is....is the item you bought for real money really yours??
The answer is not, since everything you have in a game is property of the publisher.
Depends on the government.
Most governments haven't made up specific rules about it, believe it or not, so they kind of condone it.
Btw, Diablo III getting a real money auction house? First thing I heard about that.
What's the DIII community feel about that?
I'm sure they've had to spell it out that Blizzard still owns the items that are on your character. Even if you find it or buy it, it is not your property. I think this is necessary for Intellectual Property purposes, and also because banning an account would necessarily prohibit a person from accessing their items.
Legal, yes. The US Government has been trying to figure out how to tax it.
As of right now, yes its legal. A game company could sue sellers though, but its not worth it. Buying gold is definatly legal. Both are, however, against terms of service which gives the company the right to deny you access from the service. There might be exceptions in some countries, but I dont think anyone goes to jail, they just get shut down.
It only becomes illegal when the company doesn't want it happening.
Usually it's because they want their greedy hands on some of the profit too, and that's why with each transaction, an amount will be taxed and earned by Blizzard in Diablo 3.
So, yeah. There are no laws that selling virtual items is illegal unless it goes against the consent of the companies authority. There are no official laws stating one cannot sell virtual items.
How do you think maplestory got away with selling virtual items for so long?
it may be legal. but good luck with creditcard companies helping you if you get ripped off.
paypal will not help anyone get money back if you paid for a virtual item and did not get it delivered. this happend to me way back in 2001. asheron's call in game money on ebay. and ebay and paypal both sent me emails after i asked for help. stating virtual items are non-existant items there-fore no legal actions can be pursed. some kind of woding like that.
and i'm sure to this day same issues.
so be very careful buying virtual items.
It is very legal to sell virtual item (under US law); even if the company doesn't want you to (EULA).
That being said it is also legal for them to terminate your account and seize any virtual items in that account, or any other account you own, if you violate their EULA; and you have no recourse (other than begging the game company).
I'm sorry. Who the hell paid $4,000 for some pixils? or am I misunderstanding what you said?
Exactly
It is a high end weapon was only the second dagger of that kind to drop in the history of the game. In the hands of the right player it is a very economical weapon and can save a hunter alot of peds in the long run.
I would have loved to keep it, but it will be a couple of years before I have the skills to use it, and the cash was more useful to me in real life :P
gl and have fun,
narfi
Playing with Real Money: Colonizing Virtual Worlds
Well actually more important is if it is against staate law, Eula comes second as if in collision state law overrides eulas.
Besides EULA is not law it is term of service, so you cannot prosecute anyone based on EULA only. Well at least in most of Europe.
Game companies certainly have right to ban you if you buy/sell even without warning and without any compensation.
What I think might be illegal in most countries is not paying taxes from selling virtual goods ,even as individual.
So for a certain state biggest incentive to go against sellers would be taxes especially nowadays when many western countries struggle with budget deficit.
Another thing that can be done against sellers is cooperation between services like paypal and game developers. Ultimately game companies can provide more revenue than sellers.
But well sorry this is not topic about fighting sellers.
It's legal. It's <insert company>'s property, they can do whatever they want with it.
Anything not declared 'illegal' is 'legal'. Until such time as the government says selling virtual items is illegal, it's legal.
I'm sure there will be at least one case in court because of this since money is involved. If enough money is involved, I'm sure the government will look at taxing the transactions as well.
I can not remember winning or losing a single debate on the internet.
The people talking about laws of different countries and states make good points. Many EULAs say that you agree to be bound by the laws of the developer's location, but whether that is enforceable or not would depend on your country.
For the U.S. here is an article about it
http://jolt.richmond.edu/v13i2/article7.pdf
"Never met a pack of humans that were any different. Look at the idiots that get elected every couple of years. You really consider those guys more mature than us? The only difference between us and them is, when they gank some noobs and take their stuff, the noobs actually die." - Madimorga
IRS will want to you declare any money you made on this.
If you want writeoffs, you still have to claim.
Epic Music: https://www.youtube.com/watch?v=vAigCvelkhQ&list=PLo9FRw1AkDuQLEz7Gvvaz3ideB2NpFtT1
https://archive.org/details/softwarelibrary_msdos?&sort=-downloads&page=1
Kyleran: "Now there's the real trick, learning to accept and enjoy a game for what it offers rather than pass on what might be a great playing experience because it lacks a few features you prefer."
John Henry Newman: "A man would do nothing if he waited until he could do it so well that no one could find fault."
FreddyNoNose: "A good game needs no defense; a bad game has no defense." "Easily digested content is just as easily forgotten."
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No, if you sell any virtual goods online you'll have a squad of FBI agents (or internet police wherever you might live) at your door within 10 minutes, you criminal!
The term 'selling a virtual item' is not an accurate one. A single payment lease would be more accurate when done by the intellectual property owners. They permit you to use an item until they deem it to not be useful. It remains their property.