So, here’s an interesting divide between USA law and EU law. In the USA, you almost never buy software or video games. No, the license says you’re only buying a license to use the software (which is conveniently being loaned to you free-of-charge on a disk or as a digital download or whatever) under limited circumstances as laid out by the license. Did you buy a copy of Windows or Call of Duty or whatever? No. The paperwork says you bought a right to use that software until the publisher says otherwise, and that the software remains the property of the publisher.
This arrangement has been upheld by US courts on a number of occasions, so no, you’re not buying those games. They’re just loaned to you under a limited set of circumstances. This holds doubly true for digital downloads, in the main.
What makes this a bit weird is that the USA’s Uniform Commercial Code (variations of which exist in most countries) has always maintained that once a purchase has been made, no further conditions can be imposed. That is, any license agreements and the like have to be agreed to before the purchase takes place and not (for example) once you open the box or start installing. US Court rulings on End-User-License-Agreements (EULAs) and shrink-wrap/click-through agreements say much the opposite, however, and it is what is ruled in court that matters.
And that brings us to the Court of Justice of the European Union, which has basically ruled that all those EULAs, and click-through license agreements are basically bunk as far as this is concerned and that you actually did buy the software itself.
Having bought it means that you have all the rights that you would normally have with (say, for example) a paperback book. In this case, the ruling just contents itself with the right of resale (actually it’s a part of what’s called Exclusive Distribution Rights, but let’s not overcomplicate things). That is, that you can sell or give or trade your copy to someone else.
The publisher still maintains the copyrights, of course, which means that once you have sold, given or traded yours away you can’t use yours anymore. If you did, that would be a breach of the publisher’s copyright.
“Where the copyright holder makes available to his customer a copy – tangible or intangible – and at the same time concludes, in return form payment of a fee, a licence agreement granting the customer the right to use that copy for an unlimited period, that rightholder sells the copy to the customer and thus exhausts his exclusive distribution right. Such a transaction involves a transfer of the right of ownership of the copy. Therefore, even if the licence prohibits a further transfer, the rightholder can no longer oppose the resale of that copy.”
“If he continued to use it he would infringe the copyright holder’s exclusive right of reproduction of his computer program. In contrast to the exclusive right of distribution, the exclusive right of reproduction is not exhausted by the first sale.”
Update: VG24/7′s Brenna Hillier has more.