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Criminal Defense Semi-Monthly Talk No. 11: Seminar on Criminal Risk Prevention and Compliance for Game Companies
Released on:2024-08-23

On August 16, 2024, the 11th issue of Criminal Defense Semi-Monthly Discussion on “Criminal Risk Prevention and Compliance Seminar for Gaming Companies” organized by the Criminal Department of King&Capital Law Firm was successfully held, hosted by Mr. Wang Xintong, Senior Partner of King&Capital, with Mr. Wan Li, Partner of Beijing Tiger Suit Law Firm as the keynote speaker, Mr. Liang Yulin, Attorney of Hengdu Law Firm, and Mr. Xu Wei, Partner of King&Capital as the guest speakers to share their views on the topic. Mr. Liang Yulin, a lawyer of Hengdu Law Firm, and Mr. Xu Wei, a partner of King&Capital Law Firm, as the guest speakers, made a wonderful sharing on the topic.


 


  Mr. Wan Li analyzed the case filing standards and handling procedures from six typical cases in the gaming industry, namely, game private service cases, game plug-in cases, code leakage cases, non-public bribery cases, job appropriation cases, and casino opening cases, and put forward reasonable suggestions for lawyers' work from the internal perspective of the gaming companies. Mr. Wan Li also put forward suggestions for the compliance work of gaming companies through his rich experience in handling cases, including setting up a complete compliance system and doing daily training; initiating investigations cautiously and mastering investigation skills; determining the final goal and making amendments flexibly.


  


  Mr. Liang Yulin, combined with his personal experience and case handling experience, put forward the definition of property related to virtual property and thoughts on determining the identity of the victim, and further extended it to the issue that the sale of virtual jewelry in a blind box may involve the crime of opening a casino, and that as long as a gaming platform provides the corresponding payment and settlement services, it must cut off the “knowing” line of business by means of a second level of passwords and authentication codes, before the gaming company can be held liable for the crime. “The line of business, in order to fundamentally avoid the related criminal risk. Mr. Liang Yulin also pointed out that there is still room for further improvement in the protection of game copyrights in China, and that in addition to computer program codes, art works and game play should also be legally protected.


  


  Mr. Xu Wei pointed out that game companies mainly face the risks of code leakage by relevant supervisors, malicious traffic attacks on servers, malicious cashing of code bugs, and leakage of players' personal information, which may lead to direct economic losses or put the company in criminal prosecution. For this kind of risk, Mr. Xu Wei advocates to prescribe the right medicine, no matter what kind of role the game company plays in the litigation, the features of multiple jurisdictions and great difficulty in filing a case are united, and it is necessary to save for a rainy day for the game company's prior compliance work, and to study and judge the applicable rules in advance in order to better safeguard the interests of the game company.


  


  During the hosting process, Mr. Wang introduced the development data of the game industry in recent years, such as sales revenue and user scale, as well as criminal offenses commonly involved in the development of the game industry, such as infringement of copyright, opening a casino, and infringement of trade secrets, which enriched the content of this activity.

Translated with DeepL.com (free version)