Recent weeks have seen multiple lawsuits filed against Valve, the legal entity responsible for the digital gaming distribution platform Steam, with the latest coming from the UK’s Performing Right Society.
At the end of February, New York Attorney General Leticia James filed a lawsuit against Valve for its loot box systems, alleging that Valve promotes illegal gambling marketed toward children. She claims that the variance in item values, as well as revenue generation from loot boxes, is “quintessential gambling” and seeks restitution for those who have purchased loot boxes in Valve’s games. Similarly, just a couple of days ago, the Hagens Berman law firm filed a consumer lawsuit against Valve in the UD District Court for the Western District of Washington over loot boxes as seen in games like Counter-Strike 2 and Dota 2. This lawsuit seeks restitution and resolution similar to that of the New York Attorney General.
PRS’s Official Legal Proceedings Against Valve
However, this third lawsuit against Valve has nothing to do with loot boxes, as reported by Gamesindustry.biz. The Performing Right Society (PRS) in the United Kingdom, an organization that manages and protects the rights of songwriters, composers, and music publishers (a la licensing, royalty collection, royalty distribution, and copyright protection), has “commenced legal proceedings” against Valve. The PRS claims that Valve has distributed games on Steam that use the work of its members “without permission.”
The organization claims that Valve has never obtained a license for the use of rights managed by PRS on behalf of its members, citing high-profile and popular games like Grand Theft Auto, Forza Horizon, and FIFA/EA FC. These legal proceedings follow the UK’s section 20 of the Copyright, Designs, and Patents Act of 1988 after, according to PRS, attempts by the organization to work with Valve regarding the licensing concerns. According to the organization,
“The litigation will progress unless Valve Corporation engages positively with discussions and takes the necessary license to cover the use of PRS repertoire, both retrospectively and moving forward.”
The chief commercial officer of PRS for Music, Dan Gopal, said that the organization’s members create music that enhances the experiences of games offered by Steam and that songwriters and creators “deserve to have their contribution recognized and fairly valued.” He also referenced these legal proceedings as a “duty to act,” but not a step taken lightly.
Valve’s Response to New York Attorney General’s Lawsuit
As of this writing, Valve has not officially responded to the lawsuit filed by PRS or the Hagens Berman law firm, but the company did respond to the lawsuit filed by the New York Attorney General.
In short, Valve claimed its lootboxes were similar to Pokemon cards, Magic: The Gathering cards, baseball cards, and even recent trends like Labubu as a means of defense. Valve also says that it has worked with the New York Attorney General and its investigation regarding promotion of gambling via Steam, citing its “efforts over many years to shut down accounts found to be using Valve game items on gambling sites in violation of the Steam Subscriber Agreement.”
