Wednesday, March 24, 2010

Legal Issues in Social Gaming

Hello:

Here is an article I wrote on Black Web 2.0 about legal issues in Social Gaming. Check it out and tell me what you think.

The short answer is a resounding NO!

Social gaming is the new IT factor in Social Networking. There are tons of Social Games that are accessible through iPhone apps, Facebook, and other Social Networks. Even the mega traditional gaming companies, like EA Sports, are getting into Social/Online Gaming.

Social gaming is exciting and a way to socialize with a multitude of individuals from around the world. However, when creating a user account to engage in social gaming networks, a user is essentially signing away a host of legal rights. After reading several Terms of Service agreements of the most popular social gaming networks, I have concluded a player uses these services at their own risk. Below are some clauses that I found particularly troublesome:

1. Privacy. Most social gaming privacy clauses will promise not to share or sell your personal information. However, the clauses go on to state how the service provider collects your information and how and what will be shared. For example, when using a social gaming service, the service will send Cookies to collect information about your Internet usage. The cookies will also collect “certain technical information” about your computer and Internet Service Provider. Third parties companies, who have a relationship with the social gaming service, can also send Cookies to your computer to collect Data. In addition, those companies may have access to your personal information. In most cases, players are automatically enrolled in third party programs and/or services and the social gaming service can not provide you with an option to opt out of these programs or services.

Privacy laws require Internet Service Providers to disclose how and what information is collected from users of their service. Although, the data collection process may be questionable, if disclosed properly it is permitted. However, users of Social Gaming sites may still want to think twice before engaging in such services. Recently Storm 8, a provider of Social Games for iPhones, was sued for collecting phone numbers from iPhone users without disclosing this practice to users or with their consent.

3. Data Security. Most Social Gaming Services protect user personal account information. This information includes birth dates and billing information. These sites state all account information is stored on secured severs behind firewalls. Most services use SSL technology to encrypt the account information. Usually only social security numbers, billing information, and dates of births are encrypted. Generally encryption does not apply to email addresses, phone numbers, or any other identifying information.

3. Defamation. All Social Gaming Networks prohibit any defaming, harassing, intimidating, or discriminatory behavior. However, the Social Gaming site has the right to remove this information, but is not obligated to remove the offensive material.

4. Intellectual Property. Any copyrights or trademarks the User owns or creates on the Social Gaming site belongs to the copyright or trademark owner. However, the user grants the site a royalty free license to use the copyright or trademark as they wish. When dealing with copyrights, the social gaming site can sell the copyright, make a derivative work (ex. turn a short story into a movie) of the copyright, publish or broadcast the copyright without any compensation to the copyright owner. Essentially, the Social Gaming site can use your copyright to make money while not paying you. Ouch.

5. Right to Use Your Likeness. Users also give the Social Gaming site a right to use their persona, name, or likeness without any compensation to the the User.

6. All Users are prohibited from advertising or promoting themselves or any business or service. However, the Social Gaming site can include the User in advertising or promotion campaigns without any compensation.

In conclusion, when a person signs up to use social gaming services, they should read the Terms of Service Agreements and be aware of their legal rights. In my opinion, engaging in social gaming sites legally benefits the service provider and not the user. However, the player is entertained and sometimes that is enough. My advice: User Beware.

Thursday, March 18, 2010

Does Your Company Have a Social Media Policy?

Hello:

If you have not figured it out by now, Social Media is mainstream. Because of Social Media's popularity, employers and employees have to be careful when engaging in Social Media in and outside of the workplace. Misuse of Social Media by employees can expose companies to liability, lost customers, and misappropriation of intellectual property.

EVERY company should have a Social Media policy outlining how employees should conduct themselves when using Social Media tools. This conduct should be followed whether using Social Media in a work capacity or for personal use. Remember, once something is posted on Social Media sites, it is forever out in cyberspace for the world to see.

When implementing a Social Media Policy, a company should ensure the policy contains the following provisions:

1. When employees are using social media tools for personal use, they should not use any company trademarks (identifying logos, names), or copyrights in any manner.

2. Employees should never hold themselves out as a representative of the company, unless they have received express permission from legal and management to do so.

3. Employees should never disclose or discuss company confidential, trade secrets, or other propriety company information on Social Media platforms.

4. When using Social Media platforms, employees should never engage in false, inappropriate, threatening, harassing, or defaming conduct that would be harmful to the company, employees, or damage company relationships.

5. Employees should be aware that when using Social Media tools at work, the employer has a right to view and monitor Social Media use even if the employee is using their personal Social Media accounts.

When employers provide employees with Social Media guidelines, they should also offer Social Media training and give examples of inappropriate conduct. Investing in Social Media guidelines and training now can save a company a huge headache later.

Wednesday, March 10, 2010

Give Credit Where Credit Is Due! Copying Without Permission

Hello:

I wrote this article due to the rampant unauthorized copying of copyright protected work on the Internet. This article is also posted here on Black Web 2.0. Share your thought.



When Copying A Work If You Give Credit, Do You Still Need Permission to Copy? Before you have to even consider playing your ‘Get out of Jail Free’ card the short answer is absolutely yes!

There is a huge misconception among Internet users and Bloggers that as long as credit is given to the Copyright owner, it is permissible to copy, reproduce, use snippets or paraphrase the copyright protected work. However, the Copyright Act clearly states: any person who exercises the exclusive rights of a copyright owner, without the copyright owner’s express permission, is an infringer of copyright. 17 USC sec. 501(a).

This means that anyone who wants to use the copyright of a copyright owner must directly contact the copyright owner and receive written (express) permission to copy or reproduce the work. Simply giving credit will not do.

This law also pertains to photos. When writing blog posts, most bloggers simply search the Internet for an image to complement their blog post. This is a dangerous practice and can result in a Cease and Desist letter from the Copyright Owner or a Copyright Infringement action. To avoid legal action, simply contact the owner and ask if it is permissible to use their image. The majority of Copyright owners will agree as long as you give them credit. A simple email will only take 5 minutes to write. This is a small time investment to ensure you are not breaking the law. If you can not locate the Copyright owner, use your own image and/or writing. Copying without permission is simply not worth the legal headache.

However, there are certain instances where copying a work without the Copyright Owner’s permission is permissible. A copyright owner can use a creative commons license to allow users to use their work without permission in certain circumstances. Below is an example of a Creative Common License:

1. You are free to copy the work as long as you attribute the work to the copyright owner. However you can not use the work for commercial (monetary) purposes.

Lastly, a statement such as the one below, does not protect an individual from Copyright Infringement Actions:

If you hold the copyright(s) to any music or other content that can be found here and would like for it to be removed, please contact me and it will be removed immediately.

This clause is not a “safe haven” for Copyright Infringers. I will say it again, you must get the Copyright Owner’s express permission to use the Copyright protected work. The above clause will only expose an Infringer to liability.

Friday, March 5, 2010

Before Investing Start-Up Dollars, Do A Trademark Search Before Choosing A Business Name

Hello!

I hope all is wonderful! Below is a copy of an article I wrote for Black Web 2.0 that is getting great feedback. I hope this article is helpful!


Picture this…Some friends and I decide to start an internet business and we choose a catchy and SEO friendly name. We invest money into start-up operation costs. We purchase the domain name, legally incorporate, obtain business bank accounts, hire personnel, create a logo, and order marketing materials. We send out press releases and obtain investors. We are ready to go. We realize this is a hot concept, so we want to obtain trademark protection for the business name and identity. We hire an attorney to assist with obtaining trademark registration and he discovers the name is already trademarked by another company. Yikes!

Unfortunately, I see this scenario very often in my practice. When choosing a business name or identity during the start-up phase, most business owners simply do not think about trademark registration. However, in my legal opinion as soon as a business owner chooses a company name a trademark search to assess the availability of the name or logo should be done immediately. Taking this proactive approach can save a new business from wasting dollars on a name and/or identity they can not own. Furthermore, if a trademark search clears a business to register the chosen name, logos, or other brand identifying material, the business should immediately file for a trademark to claim ownership of the mark. Very often individuals tend to infringe on company and or trademark names if they see the potential in its success! Remember, the first to use the name in commerce is the priority trademark owner!

Here are a few trademark search tips I recommend when starting a business and choosing a company name.

1. Do a preliminary search on Google to ensure that a trademark right has not been claimed in the company’s business name;
2. A preliminary search on Google will cost $0. However, Google will not find viable and valid trademark rights of companies that are not on the internet or do not have active advertising and marketing campaigns. To fully ensure your company is not infringing another trademark owner’s rights, a more comprehensive search can be done.
3. Hire a trademark attorney to perform a comprehensive search. A comprehensive search will include:

* A search of the USPTO database, all 50 states trademark databases, company names that have incorporated with the state, trade names, the Copyright Office database, and the internet.
* If you plan to sell your product or service in another country, you can also obtain an international search.
* The cost of a comprehensive search for a name only starts at $550.00. However a search performed for a logo and name, starts at $950.00. International Searches do require much larger fees.

There are several companies that perform comprehensive searches. Here are a few:

CT Corsearch.

CompuMark

4 Trademark.com

These companies gather the information but do not analyze it or ensure your trademark is not infringing. A trademark attorney can analyze the contents of the search and give you a legal opinion regarding the availability of your mark.