Sony argues in court that consumers do not misunderstand digital game ownership, defending against a class action lawsuit from PlayStation users.
Summary
- Sony argued in court that consumers do not have a misunderstanding about owning digital games purchased from the PlayStation Store.
- The company highlighted a case involving two customers who bought the same game on different dates, suggesting that ownership claims are contradictory.
- The lawsuit, filed in June by four California PlayStation users, alleges that the checkout process violates upcoming disclosure laws.
Sony has made its first detailed defense in a federal court regarding a class action lawsuit, asserting that no reasonable consumer believes they own the digital games bought on the PlayStation Store. This argument was presented in a filing dated August 21.
The lawsuit, initiated by four users from California, claims that the terminology used in the store's checkout process misleads consumers into thinking they own the games, when in fact, they are only granted a revocable license. The plaintiffs argue that the "Buy Now" and "Confirm Purchase" options imply ownership.
The basis of the lawsuit references Section 17500.6 of California's false advertising regulations, set to take effect in January 2025. This law prohibits sellers from using ownership-related terms unless they include a clear disclaimer that the purchase is merely a licensing agreement.
Sony maintains that its checkout process complies with this regulation, as the fine print directs customers to the PlayStation Terms of Service and Software Product License Agreement, which state that customers do not own the product but are instead licensed to use it.
To illustrate their point, Sony's legal team cited a case where one customer purchased "Resident Evil Requiem" on February 14, and another bought it on February 25. They argued that if the first customer truly owned the game, the second would not have been able to buy it, reinforcing that consumers cannot logically believe they own digital games.
Objectives of the Filing
Sony is requesting the judge to refer the case to private arbitration, contending that PlayStation's terms require disputes to be resolved in this manner. The ownership claims would only be relevant if the arbitration request is dismissed.
This approach aims to avoid a jury trial, as the terms of service include a class action waiver, necessitating that claims be handled individually.
Additionally, on July 1, Sony announced plans to stop producing physical discs for new PlayStation games by January 2028, indicating a shift towards digital-only distribution. The company is also reportedly working on a dollar-backed stablecoin for transactions within its digital ecosystem.
The judge has not yet ruled on the arbitration request.