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Valve returns $15,000 to Austrian players as debate over loot boxes continues

CS:GO developer Valve must pay more than $15,000 to an Austrian player after a court ruled that loot boxes are a form of gambling.

SymClub
Apr 8, 2024
2 min read
Newscasino
A rendition of a loot box. Game developer Valve has been ordered to pay more than $15,000 to an....aussiedlerbote.de
A rendition of a loot box. Game developer Valve has been ordered to pay more than $15,000 to an Austrian player after a court ruled that loot boxes constituted gambling..aussiedlerbote.de

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Valve returns $15,000 to Austrian players as debate over loot boxes continues

In another blow to video games and loot boxes, an Austrian court has ruled against video game developer Valve, reports Austria News Agency. The company behind the popular Counter-Strike: Global Offensive (CS:GO) franchise must now refund €14,096.58 ($15,426) to players who spent money on in-game weapon cases, which are considered Loot box types apply.

Loot Chests are virtual containers that players can purchase in the game, and their contents are randomly determined. Another controversial in-game purchase option, player packs in the FIFA football game, has also received criticism.

The lawsuit against Valve was brought by Padronus, a German law firm that specializes in loot box litigation, on behalf of the plaintiff, an anonymous CS:GO player. The plaintiffs argued that Valve's loot boxes violated Austrian gambling laws, which require all gambling activities to obtain a government license.

Valve does not have a gaming license in Austria, so the court ruled that the loot box deal between Valve and the plaintiff was invalid. This means that the plaintiff is entitled to a refund for the goods purchased.

Loot boxes are losing ground

The ruling is a major victory for players concerned about the addictive nature of loot boxes and their potential to harm minors.Loot boxes have been criticized for exploiting players' gaming instincts while encouraging them to spend excessive amounts of money on virtual goods. In recent years, there has been increasing pressure on game developers to regulate or even ban loot boxes.

Valve isn't the only developer to run into legal trouble in Austria.EA Games and Sony have already taken this approach with the Ultimate Team Player Pack in FIFA 23.

The Austrian court's ruling could have far-reaching consequences across Europe, as other countries consider regulating loot boxes. Some countries, such as Belgium and the Netherlands, have banned loot boxes.The EU is also considering adopting common regulations for loot boxes across all member states.

The ruling against Valve shows the gaming industry must take action to address concerns about loot boxes. Game developers need to be transparent about the odds of winning valuable items in loot boxes.

Valve has not yet commented on the court's decision, which the company has the right to appeal. However, the ruling is a major setback for Valve, and the company may face further legal challenges in the future.

Austria is developing loot box legislation

In Austria, there are growing concerns about the harmful impact of in-game purchases and loot boxes on minors. This prompted the ruling coalition of the ÖVP and the Greens to express displeasure with these practices.

Their position is consistent with the support they receive from the NEOS party. The three parties jointly called on the federal minister for consumer protection to conduct a comprehensive investigation to fully understand the impact of these factors.

However, not all parties share the same view. Austria's Freedom Party (FPÖ) rejected the initiative and called for a more decisive approach. She specifically proposed a total ban on loot boxes to curb their potential impact as a form of gambling.

While the Greens acknowledge that loot boxes can be addictive and harm the country's young people, they want to maintain a balanced approach. The party stressed the importance of collecting comprehensive data to ensure any measures taken are appropriate and effective to address the issues identified.

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Source: www.casino.org

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