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PSA: In the EU, people are equally entitled to resell their video games as they are all other types of software

Delicieuxz
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I'm making this thread after seeing that virtually every article out there on this subject contains the false suggestion that video games don't have the same resale rights in the EU as productivity or other software because video games are not just considered computer programs to be governed by the EU's Computer Program Directive (which contains a right to resale clause), but are also works of art governed by the EU's Copyright Directive (which... also contains the same right to resale clause).

 

To be clear, all software in the EU, including video games, are equally subject to the first-sale doctrine that says a copyright-holder's right to control distribution of an item exhausts after they have sold that item to somebody else. And so, all types of software in the EU have the same right to be resold by the software owner, which is whoever purchases the software license from somebody else.

 

 

Here are a few of the articles containing the false suggestion that video games might not have the same right of resale in the EU, though there are many, many more that repeat the same thing. My guess is that the first article got it wrong, and then all subsequent articles merely parroted what they read in the first article without putting any effort into researching to verify the information:

 

http://ipkitten.blogspot.com/2014/01/nintendo-ruling-confirmed-lex-specialis.html

http://www.gamerlaw.co.uk/2014/eu-digital-resale-rights-state-of-play/

https://arstechnica.com/gaming/2015/12/french-consumer-group-sues-for-right-to-resell-steam-games/

 

I'll use an excerpt from the first article to show the false claim, while the other articles and many not linked-to in this post repeat the first article's false information:

Quote

As the AG stated in her Opinion (in terms which - by the way - are more explicit than those employed by the CJEU in its decision), the special nature of the Software Directive means that its provisions take precedence over those of Directive 2001/29/EC, but only where the protected material falls entirely within the scope of the former.

 

The implications of this statement seem particularly relevant for the videogame industry, in that they appear to limit the applicability of the (disruptive) conclusions that the CJEU reached in its 2012 decision in Case C-128/11 UsedSoft [on which see Katposts here and 1709 Blog posts here] to subject-matter that falls exclusively within the scope of the Software Directive.

 

In particular, it would seem that interpretation of exhaustion of the right of distribution pursuant to Article 4(2) of the Software Directive would not extend to digital subject-matter other than "pure" software. 

 

This might imply the exclusion under EU law of the possibility of having a market for second-hand videogames which have "just" been licensed (and not sold) to the user.

 

When the above excerpt refers to Software Directive, it actually means the Computer Program Directive.

 

The quoted analysis conjectures that since the CJEU ruling in the Nintendo vs PC Box case established that video games are not simply computer programs but are also works of art that are firstly governed by the Copyright Directive instead of the Computer Program Directive, that therefore the Computer Program Directive's declaration in Article 4(2) that software is subject to the first-sale doctrine does not or might not apply to video games.

 

That hypothesis is fatally flawed because the EU's Computer Program Directive and Copyright Directive both contain the same Article 4(2) declaration that works covered by the respective Directives are subject to the first-sale doctrine and the exhaustion of distribution rights following the sale of an item covered by any of those Directives.

 

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Here is the document for Directive 2009/24/EC (AKA the Computer Program Directive) :  https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32009L0024&from=EN

 

And here is Article 4(2) from that document:

 

Article 4
Restricted acts

 

2. The first sale in the Community of a copy of a program by the rightholder or with his consent shall exhaust the distribution right within the Community of that copy, with the exception of the right to control further rental of the program or a copy thereof.

 

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And here is the document for the European Union Parliament Directive 2001/29/EC (AKA the Copyright Directive) : http://www.wipo.int/wipolex/en/text.jsp?file_id=126977

 

https://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:32001L0029:EN:HTML

 

Here is Article 4(2) from that document:

 

Article 4
Distribution right

 

2. The distribution right shall not be exhausted within the Community in respect of the original or copies of the work, except where the first sale or other transfer of ownership in the Community of that object is made by the rightholder or with his consent.

 

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So, the CJEU ruling in the Nintendo vs PC Box case that video games are not simply computer programs but are also works of art and therefore are judged firstly by the EU's Copyright Directive implied no change or difference in the right to resell video games compared to other types of software. The right to resell software in the EU remained and still is the same across the board for all types of software.

 

But, the number of articles out there suggesting otherwise is pretty overwhelming, and so has been the number of Steam forums commentators who've claimed in discussions on the Steam forums that video games cannot be resold in the EU because they don't receive the Computer Program Directive's clause on the first-sale doctrine. Even some Steam discussion moderators have been cautioning people that there's no right to resell video games in the EU because of the Nintendo vs PC Box case. That spreading of that misinformation is dangerous for consumer rights.

 

 

 

If you're interesting in learning more about software licenses, I've put together a solid intro to them in this thread:

 

 

You own the software that you purchase - Understanding software licenses and EULAs

 

"We’ll know our disinformation program is complete when everything the american public believes is false" - William Casey, CIA Director 1981-1987

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They can, they can't. Good luck in court against a big company with billions yearly revenue. EA for example, which clearly doesn't care about regulations.

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16 minutes ago, voiha said:

They can, they can't. Good luck in court against a big company with billions yearly revenue. EA for example, which clearly doesn't care about regulations.

The good thing there is that a person doesn't have to take a company to court in order to be able to do something they already can do. They may not be able to force digital distribution companies to facilitate the reselling of game licenses in their software clients, but they can resell their software via whatever means they find.

 

While, unless a future ruling changes things (which hopefully doesn't happen), a publisher has no power to prosecute anyone for doing what they're allowed to do by legal right.

 

10 minutes ago, Sakkura said:

A French consumer group sued Valve directly over this question. I'll wait to see the outcome of that lawsuit.

A German consumer rights group previously sued Valve over the same thing. The German court ruled in Valve's favour, saying that Valve is not obligated to facilitate people's interests in transferring game licenses between Steam accounts. However, that wasn't a comment on whether people had a right to resell their games or not, only a decision that Valve doesn't have to lift a finger to help people do it through Steam.

 

A national court, such as the French and German courts, is a lower court than the European Union Court of Justice and doesn't have the authority to overrule a ruling made by the EUCJ, and any EU national court ruling that contradicts an EUCJ ruling would automatically be null and void. The EUCJ rulings apply to all of the European Union.

 

 

The EUCJ has ruled that people own the software that they purchase:

 

EU Court: When You Buy Software You Own It

 

And that people have a right to resell it per their sole discretion, whether the software publisher agrees with that or not:

 

EU Court Says, Yes, You Can Resell Your Software, Even If The Software Company Says You Can't

 

Including digitally purchased and downloaded software:

 

Top EU court upholds right to resell downloaded software

You own the software that you purchase - Understanding software licenses and EULAs

 

"We’ll know our disinformation program is complete when everything the american public believes is false" - William Casey, CIA Director 1981-1987

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So you could host a torrent of the game and charge $0.01 and it would be legal because you are selling it?

▓ƆԀ▓ S▓₱▓Ɇ▓c▓s▓: i7 6ʇɥפᴉƎ00K (4.4ghz), Asus DeLuxe X99A II, GT҉X҉1҉0҉8҉0 Zotac Amp ExTrꍟꎭe),Si6F4Gb D???????r PlatinUm, EVGA G2 Sǝʌǝᘉ5ᙣᙍᖇᓎᙎᗅᖶt, Phanteks Enthoo Primo, 3TB WD Black, 500gb 850 Evo, H100iGeeTeeX, Windows 10, K70 R̸̢̡̭͍͕̱̭̟̩̀̀̃́̃͒̈́̈́͑̑́̆͘͜ͅG̶̦̬͊́B̸͈̝̖͗̈́, G502, HyperX Cloud 2s, Asus MX34. פN∩SW∀S 960 EVO

Just keeping this here as a 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̌̅̒̾̈́̆͌̌̾̎̽̐̅̏́̈̔͛̀̋̃͊̒̓͗͒̑͒̃͂̌̄̇̑̇͛̆̾͛̒̇̍̒̓̀̈́̄̐͂̍͊͗̎̔͌͛̂̏̉̊̎͗͊͒̂̈̽̊́̔̊̃͑̈́̑̌̋̓̅̔́́͒̄̈́̈̂͐̈̅̈̓͌̓͊́̆͌̉͐̊̉͛̓̏̓̅̈́͂̉̒̇̉̆̀̍̄̇͆͛̏̉̑̃̓͂́͋̃̆̒͋̓͊̄́̓̕̕̕̚͘͘͘̚̕̚͘̕̕͜͜͝͝͝͠͝͝͝͝͠ͅS̷̢̨̧̢̡̨̢̨̢̨̧̧̨̧͚̱̪͇̱̮̪̮̦̝͖̜͙̘̪̘̟̱͇͎̻̪͚̩͍̠̹̮͚̦̝̤͖̙͔͚̙̺̩̥̻͈̺̦͕͈̹̳̖͓̜͚̜̭͉͇͖̟͔͕̹̯̬͍̱̫̮͓̙͇̗̙̼͚̪͇̦̗̜̼̠͈̩̠͉͉̘̱̯̪̟͕̘͖̝͇̼͕̳̻̜͖̜͇̣̠̹̬̗̝͓̖͚̺̫͛̉̅̐̕͘͜͜͜͜ͅͅͅ.̶̨̢̢̨̢̨̢̛̻͙̜̼̮̝̙̣̘̗̪̜̬̳̫̙̮̣̹̥̲̥͇͈̮̟͉̰̮̪̲̗̳̰̫̙͍̦̘̠̗̥̮̹̤̼̼̩͕͉͕͇͙̯̫̩̦̟̦̹͈͔̱̝͈̤͓̻̟̮̱͖̟̹̝͉̰͊̓̏̇͂̅̀̌͑̿͆̿̿͗̽̌̈́̉̂̀̒̊̿͆̃̄͑͆̃̇͒̀͐̍̅̃̍̈́̃̕͘͜͜͝͠͠z̴̢̢̡̧̢̢̧̢̨̡̨̛̛̛̛̛̛̛̛̲͚̠̜̮̠̜̞̤̺͈̘͍̻̫͖̣̥̗̙̳͓͙̫̫͖͍͇̬̲̳̭̘̮̤̬̖̼͎̬̯̼̮͔̭̠͎͓̼̖̟͈͓̦̩̦̳̙̮̗̮̩͙͓̮̰̜͎̺̞̝̪͎̯̜͈͇̪̙͎̩͖̭̟͎̲̩͔͓͈͌́̿͐̍̓͗͑̒̈́̎͂̋͂̀͂̑͂͊͆̍͛̄̃͌͗̌́̈̊́́̅͗̉͛͌͋̂̋̇̅̔̇͊͑͆̐̇͊͋̄̈́͆̍̋̏͑̓̈́̏̀͒̂̔̄̅̇̌̀̈́̿̽̋͐̾̆͆͆̈̌̿̈́̎͌̊̓̒͐̾̇̈́̍͛̅͌̽́̏͆̉́̉̓̅́͂͛̄̆͌̈́̇͐̒̿̾͌͊͗̀͑̃̊̓̈̈́̊͒̒̏̿́͑̄̑͋̀̽̀̔̀̎̄͑̌̔́̉̐͛̓̐̅́̒̎̈͆̀̍̾̀͂̄̈́̈́̈́̑̏̈́̐̽̐́̏̂̐̔̓̉̈́͂̕̚̕͘͘̚͘̚̕̚̚̚͘̕̕̕͜͜͝͠͠͝͝͝͝͠͝͝͝͠͝͝͝͝͝͝ͅͅͅī̸̧̧̧̡̨̨̢̨̛̛̘͓̼̰̰̮̗̰͚̙̥̣͍̦̺͈̣̻͇̱͔̰͈͓͖͈̻̲̫̪̲͈̜̲̬̖̻̰̦̰͙̤̘̝̦̟͈̭̱̮̠͍̖̲͉̫͔͖͔͈̻̖̝͎̖͕͔̣͈̤̗̱̀̅̃̈́͌̿̏͋̊̇̂̀̀̒̉̄̈́͋͌̽́̈́̓̑̈̀̍͗͜͜͠͠ͅp̴̢̢̧̨̡̡̨̢̨̢̢̢̨̡̛̛͕̩͕̟̫̝͈̖̟̣̲̖̭̙͇̟̗͖͎̹͇̘̰̗̝̹̤̺͉͎̙̝̟͙͚̦͚͖̜̫̰͖̼̤̥̤̹̖͉͚̺̥̮̮̫͖͍̼̰̭̤̲͔̩̯̣͖̻͇̞̳̬͉̣̖̥̣͓̤͔̪̙͎̰̬͚̣̭̞̬͎̼͉͓̮͙͕̗̦̞̥̮̘̻͎̭̼͚͎͈͇̥̗͖̫̮̤̦͙̭͎̝͖̣̰̱̩͎̩͎̘͇̟̠̱̬͈̗͍̦̘̱̰̤̱̘̫̫̮̥͕͉̥̜̯͖̖͍̮̼̲͓̤̮͈̤͓̭̝̟̲̲̳̟̠͉̙̻͕͙̞͔̖͈̱̞͓͔̬̮͎̙̭͎̩̟̖͚̆͐̅͆̿͐̄̓̀̇̂̊̃̂̄̊̀͐̍̌̅͌̆͊̆̓́̄́̃̆͗͊́̓̀͑͐̐̇͐̍́̓̈́̓̑̈̈́̽͂́̑͒͐͋̊͊̇̇̆̑̃̈́̎͛̎̓͊͛̐̾́̀͌̐̈́͛̃̂̈̿̽̇̋̍͒̍͗̈͘̚̚͘̚͘͘͜͜͜͜͜͜͠͠͝͝ͅͅͅ☻♥■∞{╚mYÄÜXτ╕○\╚Θº£¥ΘBM@Q05♠{{↨↨▬§¶‼↕◄►☼1♦  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Posted

Wait, so what you're telling me is I can go sue Oxford aviation for not allowing people to resell their extremely pricey ATPL software? Yas! I can now get them for so much cheaper! 

Looking at my signature are we now? Well too bad there's nothing here...

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

What? As I said, there seriously is nothing here :) 

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2 minutes ago, Delicieuxz said:

The good thing there is that a person doesn't have to take a company to court in order to be able to do something they already can do. They may not be able to force digital distribution companies to facilitate the reselling of game licenses in their software clients, but they can resell their software via whatever means they find.

 

While, unless a future ruling changes things (which hopefully doesn't happen), a publisher has no power to prosecute anyone for doing what they're allowed to do by legal right.

oooh so you can repel it easily even if they try..that's good to know !

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3 minutes ago, BuckGup said:

So you could host a torrent of the game and charge $0.01 and it would be legal because you are selling it?

No. That would be piracy. If you bought a single license of a game then you have only a single license of the game to sell. You can sell your single copy of your game for $0.01 if you like, though that would probably represent a huge net loss on your end.

You own the software that you purchase - Understanding software licenses and EULAs

 

"We’ll know our disinformation program is complete when everything the american public believes is false" - William Casey, CIA Director 1981-1987

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2 minutes ago, BuckGup said:

So you could host a torrent of the game and charge $0.01 and it would be legal because you are selling it?

Even if you do, most games (multiplayer based) are limited to one account only so it's rather pointless.

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2 hours ago, voiha said:

Even if you do, most games (multiplayer based) are limited to one account only so it's rather pointless.

Just wait until the EU says you can sell accounts. 

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1 hour ago, fpo said:

Just wait until the EU says you can sell accounts. 

?ℎ?? ??????? ℎ?? ???? ???????? ??? ?? ???????? ?????’? ???????ℎ? ???.

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1 hour ago, voiha said:

?ℎ?? ??????? ℎ?? ???? ???????? ??? ?? ???????? ?????’? ???????ℎ? ???.

I'm going to make my own European Union and internet. With black Jack... And hookers!
Forget the EU and internet part. 

 

Ehh screw the whole thing... 

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Posted
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On 9/20/2018 at 5:18 AM, Mr.Meerkat said:

Wait, so what you're telling me is I can go sue Oxford aviation for not allowing people to resell their extremely pricey ATPL software? Yas! I can now get them for so much cheaper! 

I might not be getting the joke, but if you live in the USA, European Union, or Australia, you don't have to sue for that right, as the US' Supreme Court, the European Union's Court of Justice, and Australia's High Court have all already passed rulings that people are allowed to resell their used software even if the software publisher claims that you can't.

 

In the case of the US Supreme Court and the EU CoJ, rulings have been passed specifically on that subject, confirming that people may resell their purchased software without needing any permission from the software publisher to do so. In the case of Australia, the Australian High Court has ruled that software is a good and product to which property rights apply - which entails the right to resell purchased items.

 

So, you don't have to sue Oxford Aviation, you can just find somebody selling their Oxford Aviation software and buy it from them.

 

 

US Supreme Court Boosts Right To Resell Copyrighted Goods

EU Court Says, Yes, You Can Resell Your Software, Even If The Software Company Says You Can't

Australia's High Court rules that video games are goods, fines Valve $3m over breach in Australian law with misleading Steam refund policy

 

 

The US' Software & Information Industry Association wasn't happy with the 2013 US Supreme Court ruling:

Quote

The Software & Information Industry Association, a software-maker and digital-content trade group, blasted the decision.

 

"The ruling for Kirtsaeng will send a tremor through the publishing industries, harming both U.S. businesses and students around the world," the group's general counsel, Keith Kuperschmid said in a statement. "Today's decision will create a strong disincentive for publishers to market different versions and sell copies at different prices in different regions. The practical result may very well be that consumers and students abroad will see dramatic price increases or entirely lose their access to valuable U.S. educational resources created specifically for them."

 

 

Valve filed for special permission to appeal Australia's High Court ruling, but was denied:

 

Full steam ahead: High Court dismisses Valve Corporation’s application for special leave

You own the software that you purchase - Understanding software licenses and EULAs

 

"We’ll know our disinformation program is complete when everything the american public believes is false" - William Casey, CIA Director 1981-1987

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I would push for a self-serving system on Steam. Ask the market place for a key and you put in your offer of X. X money comes out of your available wallet and stays put until the transaction is completed or you rescind your offer (I would enjoy there being a 14-day automatic withdrawal with renewal notification). If a key is being sold in much the same way as a trading card, it lessens the amount that the seller keeps. The publisher/developer gets their cut and so does Valve. The seller loses all rights to use the key/instance they purchased. The buyer shouldn't be able to sell the second-hand key, thus effectively making it an untradable key. 

 

One thing I'm still on debate for is whether the seller should be able to then buy aftermarket or be held to purchasing a new Valve key only.

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Means nothing for digitally distributed games, if companies like Valve doesn't let us transfer/sell the games.

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16 hours ago, TetraSky said:

Means nothing for digitally distributed games, if companies like Valve doesn't let us transfer/sell the games.

It still means a lot. It means that companies like Valve, Microsoft, and any other can't lawfully prevent you from reselling your games and program software - and so you can sell your Steam account even if Valve doesn't want people to.

 

It also means that EULAs that contain a claim that your software license is non-transferable are invalid. It protects your ability to assert yourself as the exclusive owner of your software and to act accordingly. And for lawsuits seeking to force Valve to build support to transfer games between Steam accounts, it creates the pretext for those lawsuits.

 

There is a lawsuit ongoing in France right now, where a French consumer rights group is suing Valve over their lack of accommodation for being able to transfer games between Steam accounts, obstructing France citizens' right to resell their video games including digitally-purchased video games.

 

When you resign the idea that you own your software because some company is not honouring your rights as owner of your software, then you're giving power to those companies and their position against enabling software transfers, and then other advocates have to carry your weight for you. You become a part of rights-infringing companies' shield against pressure to change their services rather than the force that makes them change their services.

You own the software that you purchase - Understanding software licenses and EULAs

 

"We’ll know our disinformation program is complete when everything the american public believes is false" - William Casey, CIA Director 1981-1987

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16 hours ago, TetraSky said:

Means nothing for digitally distributed games, if companies like Valve doesn't let us transfer/sell the games.

It would mean that someone is blocking your ability to sell your box. Interfering with business is seen as unethical for the government, businesses interfering with other businesses' sales is seen as unethical. Ergo, sales shouldn't be prohibited from going through. 

 

If we can force Valve and other marketplaces to use their existing services to adhere to the laws set forth by national law, it will set a good precedent for future consumer rights suits. 

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Posted

I've kind of been saying this for years, there's no reason that Steam shouldn't allow, prevent, or hinder you from selling and/or trading your games. Or refunding for any reason of your choosing, since you can't resell. You just lose out on $60 every time you get a game you don't like.

It's down to the point where I have some Steam games I'm done with and would like to give to my brother, but according to Steam that's impossible and illegal. I wouldn't be so butthurt about it if they made a family plan that doesn't suck so hard.

 

This is also why I hope GOG.com keeps growing and getting more big titles. Also why I still in a sense prefer consoles and physical media, never have to deal with this crap.

#Muricaparrotgang

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