Kotaku today reports that Valve has been found guilty of breaching federal Consumer Law here in Australia.
The breach centres around Valve’s lack of a refund policy in August 2014 when the ACCC originally sued the publisher. Valve essentially tried to argue that it wasn’t doing business directly in the country, and as such, wasn’t bound by Australian Consumer Law, but the Australian Federal Court today disagreed.
“The Federal Court’s decision reinforces that foreign based businesses selling goods and/or services to Australian consumers can be subject to Australian Consumer Law obligations, including the consumer guarantees,” Australian Competition and Consumer Commission (ACCC) Chairman Rod Sims said.
“In this case, Valve is a US company operating mainly outside Australia, but, in making representations to Australian consumers, the Federal Court has found that Valve engaged in conduct in Australia,” Sims continued. “It is also significant that the Court held that, in any case, based on the facts, Valve was carrying on business in Australia.
“This is also the first time Courts have applied the extended definition of ‘goods’ to include ‘computer software’ in the ACL. It will provide greater certainty where digital goods are supplied to consumers through online platforms.”
A further hearing has been scheduled for mid-April to discuss relief payments. Valve may be liable for up to 75% of the ACCC’s legal costs in addition to punitive costs.
Valve has since implemented a refund policy on Steam.
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