September 28th, 2024

CA law inspired by Ubisoft, Sony requires warning that games can be taken away

California's AB 2426, effective in 2025, mandates retailers to warn consumers about the revocability of digital purchases, inspired by issues with Sony and Ubisoft, potentially influencing other states.

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CA law inspired by Ubisoft, Sony requires warning that games can be taken away

A new California law, AB 2426, will take effect in 2025, requiring retailers to inform consumers that digital purchases, including video games, can be revoked at any time. The law prohibits the use of terms like "buy" or "purchase" for digital goods unless a clear warning is provided that ownership is not guaranteed. This legislation was prompted by incidents involving Sony and Ubisoft, where consumers lost access to purchased content due to licensing issues and server shutdowns. The law mandates that sellers either obtain an affirmative acknowledgment from buyers or display a conspicuous warning during transactions. Exceptions apply for free digital products or those that allow permanent offline downloads. While the law aims to enhance consumer awareness, it does not prevent digital games from being removed, leaving players vulnerable to losing access to their purchases. The law's impact may inspire similar regulations in other states, but its effectiveness will depend on consumer vigilance regarding terms of service.

- California's AB 2426 requires warnings for digital purchases about potential loss of access.

- The law was inspired by incidents involving Sony and Ubisoft's content removal.

- Retailers must provide clear warnings or obtain buyer acknowledgment to use "buy" terminology.

- Exceptions exist for free products and those with offline download options.

- The law may influence other states to consider similar consumer protection measures.

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By @ChrisArchitect - 7 months