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.