California law AB 2426 mandates online retailers clarify ownership terms, requiring phrases like 'rent' or 'license' for digital goods that aren't truly owned.
The law intends to reduce consumer outrage over digital content removal by making ownership stakes clearer, penalizing false advertising with fines up to $2,500.
AB 2426 applies to games and content that require ongoing online connection, enhancing transparency for consumers purchasing digital products.
Existing licenses often buried disclaimers regarding non-permanent ownership. This law aims to provide clearer notifications to avoid confusion.
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