World News – UA – Dutch gaming regulator celebrates decision against EA loot boxes – CalvinAyrecom

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On Thursday, The Hague District Court issued a ruling upholding an administrative order issued last year by gambling regulator Kansspelautoriteit (KSA) that imposed penalties of up to 10 million euros to EA for offering ‘packs’ in the company’s FIFA football video game

The KSA order in 2019 came after finding that EA’s loot boxes were an illegal game of chance under Dutch gambling regulations due to the random value of the content, as well that due to the fact that virtual objects could be exchanged or sold for real -World Currency on third-party sites

The KSA ordered video game companies to modify their products to ensure compliance with Dutch law, but neither EA nor its subsidiary Electronic Arts Swiss Sàrl complied As a result, the KSA issued an order of  » cease & of withdrawal ”against the two companies of EA, making them liable to penalties of up to 5 million euros each

The KSA justified the harshness of the penalties because of their view that video games are particularly appealing to children and young adults who may be more likely to develop problem gambling behavior

The court dismissed EA’s appeal against the sanctions imposed by the KSA, ruling that the outcome of a ‘Pack’ payment is « determined only by chance; the players do not have a preponderant influence on the contents of the Packs and no dexterity is required to participate « 

The court dismissed EA’s attempts to tone down this view by noting that the content of the Pack could be used in FIFA’s game and that there was a « certain degree of transparency » over the content. chances of winning a particularly valuable / useful virtual item by opening a box

The court further rejected EA’s argument that there was «  no direct convertibility  » of Pack content into real money, noting that virtual items earned by opening a Pack could be redeemed with other players for in-game virtual FUT Coins, which « Can be converted to FUT Points then Euros »

The court also rejected EA’s arguments that the KSA was required to prove that loot boxes are addictive, noting that Dutch gambling law « does not require separate scientific confirmation per game. hazardOn the contrary, the Court concluded that EA had the burden of showing « that the identified risk potential does not exist with the Packs »

As to EA’s argument that the penalty of 10 million euros was excessive, the Court noted that EA and its offshoots “had previously had the opportunity to bring the violation to an end without threat of corrective sanction They did not take this opportunity « 

EA has already declared its intention to appeal the decision, stating, « We do not believe that our products and services violate gambling laws in any way » EA said it remained « open to discussions » with the KSA « to understand and explore solutions to address any concerns »

Loot chests have come under attack by gaming regulators around the world, especially as studies show the products are the equivalent of a gaming gateway drug. was not helped by her flippant rejection of the concerns of these regulators

EA has shown its willingness to change its loot box rules in certain markets where regulators have taken a more categorical enforcement approach, a model the KSA has undoubtedly taken into account in its stance. p>

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Electronic Arts, Loot Box, FIFA

World News – UA – Dutch Gambling Regulator Celebrates Decision Against EA’s Coffers – CalvinAyrecom


SOURCE: https://www.w24news.com

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