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Nintendo Busts Hong Kong Pirates

June 19, 2003, 11:01 am EDT
Total comments: 10

On the other hand, pirates that copy videogames should walk the plank. Shiver me timbers!

Hong Kong High Court Rules in Favor of Nintendo

Worldwide Distributor of Illegal Game Copying Devices Ordered to Cease Distribution, Pay Damages and Legal Expenses to Nintendo

REDMOND, Wash.--(BUSINESS WIRE)--June 19, 2003-- In one of Nintendo's most significant anti-piracy judgments ever, the High Court of Hong Kong ruled against Lik Sang International Limited, worldwide distributor of game copying devices capable of widespread counterfeiting of Game Boy® software.

In the recent decision, William Waung, Judge of the Court of First Instance, High Court, ruled in favor of Nintendo Co. Ltd and Nintendo of America Inc. against defendants Lik Sang International Limited and Visoly Limited, and their principals, Ahlswede Nils and Alexander Peter Kampl. Judge Waung ordered an interim payment of HK$5 million (US$641,000) be paid to Nintendo and further ordered them to pay Nintendo's legal expenses. The amount of actual damages will be awarded at a later hearing.

The basis of the court's ruling is a local copyright law preventing people from selling video game copying devices used to make illegal games that are then sold worldwide, further deepening the piracy epidemic.

Hong Kong copyright law is directed not at the person who made unlawful copy but the person/s who furnished the means to make the illegal copying occur. By analogy, "With drugs, it is not aimed at the drug addict but at the drug trafficker," noted Judge Waung in the judgment. "I have no doubt that the reason they sell like hotcakes is because they delivered the means whereby a person would be able to steal the games of the plaintiffs (Nintendo) housed inside the Game Boy cartridge of the plaintiffs and then illegally put the stolen games into the defendants' Flash Card."

The recent judgment comes as a direct result of a civil action Nintendo initiated against Lik Sang International Limited last fall. Nintendo was granted a seizure order on September 17, 2002 by the High Court of Hong Kong. Hong Kong courts have since given Nintendo authority to confiscate all offending products and related business documentation that could lead to further lawsuits against offending manufacturers and distributors. Nintendo obtained an injunction order against the worldwide assets of Lik Sang International Limited including a seizure of its bank accounts. Following the raid, Lik Sang International Limited ceased distribution of the illegal products.

"These devices have been distributed to at least 30 countries around the world. Nintendo will take all steps necessary to stop the manufacturing and distribution of counterfeit Nintendo products," says Jodi Daugherty, director of anti-piracy for Nintendo of America Inc. "Nintendo has the best game developers in the world. They have spent years developing unique and creative games. Their respective efforts deserve to be protected and respected, not stolen."

Worldwide piracy is estimated to have cost the United States entertainment software industry more than $3 billion in 2002. In 2002, Nintendo, together with its publishers and developers, suffered nearly $650 million in lost sales as a result of the illegal copying of Nintendo products.

Talkback

DjunknownJune 19, 2003

What will Nintendo do with 600k? What CAN they do with 600k?

Interesting is the fact that their money maker known as GBA is also its greatest weakness. GameCube's propiety disc has yet to be hacked, and PS2, even Xbox with its similiarites to the PC have lent themselves to some sort piracy, if not now, very soon.

If I were a betting man, the successor to GBA is going to be disc based a la Gamecube. Though as cliche as it sounds, nothing is 'ever' impossible, just unlikely.

BlkPaladinJune 19, 2003

At least not in the way you can play games on the gamecube itself. Its quite evident that they are able to dump software currently.

Michael8983June 19, 2003

Yeah, I think it's almost a sure-bet that the next Gameboy will use the mini-DVDs.
That would allow backwards compatibility with the Gamecube and drastically reduce piracy.
I just hope the new Gameboy is still a long while away. At least a good five years.
Some people seem to think Nintendo will have to put out a new Gameboy to compete with the PSP but I disagree. I think the GBA can crush the PSP on its own with relative ease and Nintendo won't have to do anything. It will be like the Original Gameboy vs The Gamegear all over again.
Nintendo didn't need a color Gameboy to crush the Gamegear and The Gameboy Color didn't arrive until years later. Sega made the mistake of thinking handheld gamers would abandone the Gameboy and flock to its new handheld just because it was more powerful and had color but it was wrong and I think Sony is just making the same mistake.
So I hope Nintendo doesn't jump the gun and cut the GBA's life short just to compete with something it probably doesn't even need to compete with. I think most GBA owners would agree with that sentiment too.

DoerrJune 19, 2003

Now all Nintendo has to is get Starcube and the other release groups to stop releasing GC Isos.

NephilimJune 20, 2003

*looks at the posts above and rolls eyes*
Nintendo have gone a bit far with trying to stop FLASH cards, In my eyes there is nothing illegal about them, They come blank mostly without software to rip games. You have to buy the cord seprate to download/rip games
The SOFTWARE to rip/download games in ONLINE, has nothing to do with the production with the flash cards.

also the arguement about Drugs and dealers is silly, Its as bad as the people who sued Mc donalds with a excuse like that.
Whoever represented the hongkong company did a poor job stopping nintendo.
If this case when to court in a western country I could easly see the company blocking nintendo

oohhboyHong Hang Ho, Staff AlumnusJune 20, 2003

People who sued Mcdonalds is a different case. It was the end comsumer who sued Mcdonalds. In this case it the copy-right holder suing not the end comsumer. It is more like McD trying to sell Whoppers.

Another thing, they are not trying to stop FLASH cards, but stoping FLASH cards in a GBA playable form. That includes tha cart, the cord.

Bartman3010June 21, 2003

An emulator is different from a cartridge that downloads games you find on the net. This isnt a floppy disc we're talking about here. Nintendo had a right to bust these guys. Isnt copying a game downright illegal (Well, I read at GameFAQ's that making 1 copy of your game is legal and thats it, you have to rid of the extra copy if you lose ownership of your original.) However this isnt the case with the flash cards, your not making copies of the game, your owning a copy of someone elses own copy.

Either way, good for the Big N.

PIACJune 21, 2003

those you must own the original copy and/or must delete in 24 hours things are complete ass, they are just there to wel... im not really sure why they are there.

AnyoneEBJune 22, 2003

Yes, the 24 hour stuff is fake. But there is no law preventing you from having a back-up copy as long as that's what you use it for. If you make a "back-up" and give/sell it to someone else and keep your orginal to play on, that's illegal. If you make a copy and play and that and keep your orginal in a safe place, that's completely legal no matter what Nintendo says.

KDR_11kJune 23, 2003

http://www.theregister.co.uk/content/54/31376.html

A comment by Lik Sang's lawyer correcting some parts of Nintendo's press release. In short: N hasnm't won yet, they've just taken the first stage. An appeal was already filed and experts were missing from the first suit.

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