California Governor Gavin Newsom has signed a law (AB 2426) to combat “disappearing” purchases of digital games, movies, music and ebooks. The legislation will force digital storefronts to tell customers they’re just getting a license to use the digital media, rather than suggesting they actually own it. The Verge reported.
When the law comes into affect next year, it will ban digital storefronts from using terms like “buy” or “purchase,” unless they inform customers that they’re not getting unrestricted access to whatever they’re buying.
Storefronts will have to tell customers they’re buying a license that can be revoked as well as provide a list of all the restrictions that come along with it. Companies that break the rule could be find for false advertising.
“As retailers continue to pivot away from selling physical media, the need for consumer protections on the purchase of digital media has become increasingly more important,” California Assemblymember Jacqui Irwin said in a press release. “I thank the Governor for signing AB 2426, ensuring the false and deceptive advertising form sellers of digital media incorrectly telling consumers they own their purchases becomes a thing of the past.”
California Governor Gavin Newsom posted the following:
Making it easier to cancel subscriptions
AB 2826 by Assemblymember Pilar Schiavo (D-Chatsworth) address complicated auto-renewing subscription services that are easy to sign up for but hard to cancel. The bill requires companies offering offering automatic renewals and continuous services to provide consumers a means to cancel the subscription using the same medium they used to sign up; for example, a person who subscribes online has to be given an online click-to-cancel option. This ensures that consumers can easily exit from services they no longer want, without being trapped by confusing processes or hidden fees.
“At a time when too many in our community are struggling, unwanted subscription renewals can really add up. AB 2863 is the most comprehensive ‘Click to Cancel’ legislation in the nation, ensuring Californians can cancel unwanted automatic subscription renewals just as easily as they signed up — with just a click or two,” said Assemblymember Schiavo.
“California is setting a model for the nation on protecting consumers from unnecessary charges — giving them more control over their finances and helping small businesses. I’m grateful for that this important legislation was signed, as it will mean more money in the pockets of people throughout our community.”
Engadget reported California Governor Gavin Newsom has signed AB 2426, a new law that requires digital marketplaces to make clearer to customers when they are only purchasing a license to access the media.
The law will not apply to cases of offline permanent downloads, only to the all-too-common situation of buying digital copies of video games, music, movies, TV shows or ebooks from an online storefront.
The move to digital storefronts has raised new parallel concerns about ownership and preservation for media in the modern age, Ubisoft’s move to delete The Crew from players’ libraries after the game’s servers shuttered is one of the most recent examples of how customers can suddenly lose access to media they owned.
The new California law won’t stop situations like The Crew’s disappearance from happening, and it won’t stop those losses from hiring. But it does make clearer that ownership is a pretty rare and intangible thing for digital media.
In my opinion, if a company decides to remove video game content, that consumers paid for, it makes that company untrustworthy. It is unfair to sell a product and then grab it away from those who purchased it without warning.