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Filed under: Legal

New legislation in China outlaws gold farming

Filed under: Economy, MMO industry, News items, Legal

Gold farmers. We know you hate them... We know. And we've mentioned the associated gold spam as being the bane of many MMO players' existence a number of times in the past. But is the situation ever going to change?

Perhaps, given the new legislation coming out of China this week. Of course while all gold farmers certainly aren't based in China, a substantial percentage of gold farming operations are in fact run from the country. Such operations may now find themselves under greater scrutiny by the Chinese authorities; the government has now established its first official rule on the use of virtual currency in China.

Essentially, it states that virtual currency cannot leave the sphere of influence of its issuer. (Exact wording: "The virtual currency, which is converted into real money at a certain exchange rate, will only be allowed to trade in virtual goods and services provided by its issuer, not real goods and services.") If the law is actually obeyed and enforced, it would curb all manner of black market activities in China connected with the virtual.

Square-Enix sued over "hidden fees" in Final Fantasy XI

Filed under: Fantasy, Final Fantasy XI, Business models, MMO industry, Consoles, Legal

A class action lawsuit has been filed earlier this week against Square-Enix North America for intentionally deceiving customers regarding hidden penalties and fees associated with the PlayOnline and Final Fantasy XI service.

The suit, filed on behalf of Esther Leong of San Francisco, is seeking over 5 million in damages. The suit also goes on to specifically list the penalties for the late payment of fees, the interest charges for unpaid fees, charges that occur while the game account is suspended, termination of game service for unpaid fees, and the termination of game data due to the late payment of fees as the specific causes of this lawsuit.

In Square-Enix's defense, however, the suit also lists the standard monthly subscription as being intentionally decieving. Final Fantasy XI's case does, in fact, say that additional online fees would be required and it also has a large sticker announcing "Free subscription for 30 days!" on the front of the box -- something more than most online games provide regarding their subscriptions.

We have contacted Square-Enix, and are currently waiting for their response to this matter.

[Via IGN.com]

Australian network filtering promises to reach out to block games, online games and more

Filed under: MMO industry, News items, Opinion, Second Life, Politics, Legal, Virtual worlds

Australian Communications Minister, Senator Stephen Conroy, has promised to extend Australia's proposed network-level content filtering regime to block games, online games, downloadable games, and websites that sell or allow download of games that are deemed not to be suitable for a 15-year-old audience. This, despite research by the IEAA (the Interactive Entertainment Association of Australia) that the average age of Australian Gamers is 30.

Even though Australian Federal and State laws say otherwise, some MMO titles exceeding that classification are already sold on Australian store shelves, by simply bypassing compulsory classification. Australian Federal and State authorities refuse to respond to any enquiries about the topic.

The matter becomes even more confusing and complex, however, as it introduces a new, defacto classifications body to the mix.

Article One asserts prior art on Worlds.com patent

Filed under: News items, Legal, Virtual worlds


Article One Partners, "a global community that rewards members for discovering patent validity evidence to legitimize US patents", has announced that they have turned up prior-art that may (or may not) be useful in overturning the Worlds.com US Patent 7,181,690.

It's difficult to judge on its merits. Article One receives revenue by on-selling that information to interested parties. We're not sure how much for, but the prize paid for locating the information is US$50,000, so we're expecting that the cost of seeing the inforomation is considerably more than that.

The9 sues Blizzard in WoW China operation fallout

Filed under: World of Warcraft, Fantasy, MMO industry, News items, Legal


Foreign game companies operating in China face a business, regulatory, and legal climate that can be confusing or even turbulent at times. These are the chances a game company takes when trying to succeed in the China market; there are risks, certainly, but there's also a great deal of profit potential. Blizzard Entertainment partnered with games operator The9 to bring World of Warcraft to millions of gamers in China in an arrangement that's worked for four years. Things must have soured in this last year of operation, however, as Blizzard has dropped The9 and partnered with NetEase to operate World of Warcraft in China as of this month.

Clearly, this does not sit well with The9. The latest report we've seen on the fallout from the Blizzard/The9 split shows it's getting ugly. The9 is taking action against Blizzard in the Chinese legal system, with lawsuits over software copyright infringement, assets damage, and commercial defamation. All three suits are being heard in Shanghai courts.
One of Azeroth's millions of citizens? Check out our ongoing coverage of the World of Warcraft, and be sure to touch base with our sister site WoW Insider for all your Lich King needs!


Bioware owns you... or at least your fan art

Filed under: Fantasy, Sci-fi, Business models, Fan art, Legal, Star Wars: The Old Republic


Games and fan art go together like mashed potatoes and gravy -- you just don't have one with out the other. But how would you feel if you found a legal disclaimer in your favorite game's website terms of service that claimed that any fan art you produce, regardless of your intentions, is owned by the game company just because you depicted the IP?

That's what Woody Hearn from GU Comics found inside of the Bioware Tems of Service on the Star Wars: The Old Republic website. The paragraph in question (found in section 7 of the terms) essentially states that all fan art derived from any intellectual property of LucasArts and/or Bioware is explicitly the property of LucasArts and/or Bioware. So that stormtrooper picture that you drew? Yeah, it belongs to LucasArts.

Hearn has already explicitly stated that GU Comics won't be featuring any more Star Wars: The Old Republic or other LucasArts / Bioware titles until the policy changes. While he is covered under the fair use law for satire, any other pieces drawn by other artists may not be.

Is Congress the smoking gun behind Second Life's turnaround on adult content?

Filed under: News items, Opinion, Second Life, Politics, Legal, Virtual worlds

So, ever wonder what's really motivating Linden Lab's recent push to implement an Adult content rating and firm up age-verification for Second Life? How about HR110-920 FINANCIAL SERVICES AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2009?

This is an appropriations bill that covers a lot of ground, covering appropriations for a whole lot of things. Introduced on 10 December 2008, the bill specifically includes an appropriation for an investigation and report to Congress on explicit content in virtual environments and on the access to those environments by minors.

Taser International vs Linden Lab: Lawsuit dropped!

Filed under: News items, Second Life, Legal, Virtual worlds

Quite surprisingly, according to Patent Arcade, Taser International Inc have filed to voluntarily drop their lawsuit against Linden Lab (and numerous others). It isn't often that we get to cover the end of a lawsuit -- they generally tend to drag on somewhat -- but it's possible that this might not be quite over.

Linden Lab hadn't yet filed a response to the original complaint, the suit can be dropped 'without prejudice'. That means the suit can be filed again.

Perhaps Taser International has found some far more interesting or lucrative basis for a case. It is also possible that the changes to Second Life products that now assert the primacy of the TASER trademark have satisfied the company. Or perhaps, at the end of the day, the whole effort met some unknown marketing targets. This could all be on again. Watch this space.


Are you a part of the most widely-known collaborative virtual environment or keeping a close eye on it? Massively's Second Life coverage keeps you in the loop.

Richard Garriott blasts NCsoft with $24 million lawsuit

Filed under: Events, real-world, MMO industry, News items, Opinion, Tabula Rasa, Legal

When Tabula Rasa shut down in January, we thought we'd heard the last of NCsoft and Richard Garriott in the same sentence. Oh, how wrong we were. Yesterday, Kotaku broke the news that Garriott was suing his old pals at NCsoft to the tune of $24 million for fraud, and generally being a bunch of fetid arsebiscuits. Details were decidedly skimpy, however - why would Garriott go after the company so long after his departure? What had gone rotten in the state of Denmark?

This morning, GamePolitics added their .02 to the mix and upped the ante with the legal documents involved - and boy, are they illuminating. According to Richard's side of the story, it goes like this: Richard & co form Destination Games, and are bought out by NCsoft in exchange for some very hefty stock options. After Tabula Rasa launches, Richard gets tapped for a space flight he signed up for some years prior. After talking to NCsoft higher-ups, he is approved for, and goes on, extended leave to take his space flight. During this time, he continues doing PR for Tabula Rasa, including Operation Immortality. Flight (and PR stunt) successful, Richard touches down to Earth, goes into quarantine in Russia, and NCsoft calls him to drop the hammer - while he's stuck in Russia, decontaminating. No choice, no warning, nothing. "So long, and thanks for all the Bane."

The law's rough edges: Virtual goods and virtual environments

Filed under: Culture, Opinion, Second Life, Legal, Virtual worlds

As we go around and around the media-circle associated with virtual worlds, people start bringing up virtual governments, virtual law, and virtual lawyering. And you know what? That's all a bit rubbish, really. That's the sort of thing that keeps us going around in the same media wading pool year after year.

Essentially what it boils down to is that some people seem to get the confused notion that, because of the use of a single technology, our whole legal and/or governmental systems need to be replicated and recreated from snuff just to deal with what people are doing. Why this should happen with virtual environments when no other human technology has ever required this, is really quite the bizarre notion.

Worlds.com vs. NCSoft moves from Texas to California

Filed under: MMO industry, News items, Legal, Virtual worlds


Intellectual Property lawyer Ross A. Dannenberg has reported on his website, Patent Arcade, that the patent dispute between Worlds.com and NCSoft will be moved from the Eastern Texas district to the Northern California district as of 4th May 2009. Worlds.com is persuing NCSoft over alleged infringements of patents that it owns.

The eastern Texas district has acquired a reputation for being the ideal court for this kind of patent due to favorable attitudes to plaintiffs, resulting in a practice known as forum shopping being used to maximize the chance of a successful outcome. On December 5th 2008 the Texas Supreme Court issued a ruling that severely limits the discretion available to a trial court to determine if a case should be dismissed if an adequate alternate forum exists. This should result in cases that have little or no ties to that particular area of Texas being forced to be heard in a more appropriate court, which is likely to be the case in this instance.

You can catch up with all of our coverage on this action here.

Taser International vs Linden Lab: Crack Den crackdown

Filed under: News items, Opinion, Second Life, Legal, Virtual worlds

Taser International Inc have filed a lawsuit against Linden Lab (and others, including some present and some departed) staff. We got a hold of the April 17 complaint yesterday, and have been going through it since then. We've got a summary of the complaint and issues for you, but we won't be linking to the complaint due to the presence of what may be considered to be pornographic images in Exhibit 2. The "crack den" reference in the headline is a recurring phrase in the legal complaint. You'll see why.

If you want the one-sentence summary, Taser seem to have failed to do their homework and basic research, but their case doesn't seem to be entirely without merit either.

The9 is out, NetEase is in for Chinese World of Warcraft operator

Filed under: World of Warcraft, Fantasy, Business models, Expansions, MMO industry, News items, Legal


Yesterday, we reported the rumor that it looked like Chinese World of Warcraft operator The9 might be losing the licensing rights to a competitor, and today we can confirm that rumor to be 100% true. Rival company NetEase has purchased the rights to operate World of Warcraft in China, starting once The9's current contract is up with Blizzard on June 8th.

NetEase is already the operator of Battle.net in China, supporting Warcraft III and the to-be-released Starcraft II. They have been operating with Blizzard since last August, when they acquired all of the rights to the other Blizzard games. This acquisition only brings NetEase and Blizzard closer together in their business arrangement.

What is still up in the air, however, is the fate of Wrath of the Lich King. DoNews, a Chinese news site, has reported that Wrath has been licensed by NetEase, although no formal announcement has yet been made.

[Via JLM Pacific Epoch]

Fallen Earth rated M for Mature by ESRB

Filed under: Sci-fi, Fallen Earth, MMO industry, News items, Legal


Fallen Earth is the upcoming post-apocalyptic massively multiplayer online game where players will soon be carving out a living in a world ravaged by viral and nuclear armageddon. Not that we really thought a game where fending off packs of mutated anarchist bikers out in the wasteland Mad Max-style was really going to be "family-oriented entertainment", but Fallen Earth LLC has now made it official.

Circatrix from the Fallen Earth team writes, "Thought you all should be the first to know that we've received our rating from the ESRB board and we're classified as an M (Mature). You'll start to see this in our ads and videos moving forward." We're glad to hear that they're not toning down the game's themes simply to reach a younger audience, and Massively will be keeping an eye on Fallen Earth as it gets closer to launch.

Infringers of Dune: Dune role-players shut down by Herbert Estate. Spice keeps flowing

Filed under: Culture, News items, Second Life, Legal, Roleplaying, Virtual worlds

Among the various business, educational and social uses to which Second Life is put, Role-Playing gamers have quite a number of thriving communities. If you want to role-play in the world of Joss Whedon's Firefly, or Straczynski's Babylon 5, Lucas' Star Wars universe(s), Tolkien's Middle Earth, John Norman's Gor, Frank Herbert's Dune, Roddenberry's Star Trek, or the settings of Doctor Who, Torchwood, Battlestar Galactica, Harry Potter, Final Fantasy VII or CCP/White Wolf's World of Darkness, Second Life is home to all of these and more.

Well, until this week anyway. According to Wagner James Au, Trident Media Group, a literary agent "designed for the twenty first century",which maintains the Herbert Estate sent cease-and-desist notices via Linden Lab requiring one non-profit role-playing community to remove Dune-related names and objects from the virtual environment within two days.

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Fallen Earth Launch Q2 2009
Global Agenda Closed Beta July 2009
CrimeCraft Launch Aug 25 2009
Champions Online Launch Sep 1 2009
Cities XL EU Launch Sep 3 2009
Aion Launch Sep 22 2009
Earth Eternal Open Beta Q3 2009

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