France fined Valve and Ubisoft over their refund policies

in gaming •  6 years ago  (edited)

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What is Valve?

Valve corporation is a platform where gamers can buy digital copies of games through their desktop application called Steam

What is Ubisoft?

It is a French video game company and it is the fourth largest publicly-traded game company in the Americas and Europe after Activision Blizzard, Electronic Arts, and Take-Two Interactive in terms of revenue and market capitalisation.

Valve and Ubisoft have been fined by French authorities over the refund policies of Steam and Uplay, specifically their failure to specify that consumers in the country have 14 days to demand a refund from digital services. Ubisoft has no refund policy in place for Uplay—all purchases are final—while Valve offers a 14-day refund policy but only on games that have been played for less than two hours. Neither of those are adequate under French law, but that's not the only problem.

As noted by French gaming site NoFrag (via PCGamesN), French law allows for no exception for the number of hours played: Article L221-18 states, in Google translated form, "The consumer has a period of fourteen days to exercise his right of withdrawal from a contract concluded at a distance, following a canvassing telephone or off-premises, without having to motivate his decision or to bear other costs than those provided for in Articles L. 221-23 to L. 221-25."

Those articles lay out the conditions under which consumers can be held liable for either the direct costs of returning the goods, or "the depreciation of goods resulting from manipulations other than those necessary to establish the nature, characteristics and proper functioning of these goods," which is basically a legal way of saying, "You break it, you bought it."

Interestingly, it appears that companies actually can restrict or deny refunds for digital purchases in France: Article L221-28 says that "the right of withdrawal cannot be exercised" under a number of specific circumstances, including for "digital content that is not supplied on a physical medium whose performance has begun after the express prior consent of the consumer and expressly waives his right of withdrawal."

But L221-5 specifies that companies must make that clear to consumers, "in a readable and comprehensible manner," prior to the completion of the purchase. Because Valve and Ubisoft failed to spell that out, they don't get the benefit of the exception. Both Steam and Uplay now display banners detailing the fines and which laws were broken to warrant them.

Source: https://www.pcgamer.com/valve-and-ubisoft-fined-over-steam-and-uplay-refund-policies-in-france/

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