Activision, EA GAMES, Garena Brasil, Nintendo, Ubisoft, Konami, Valve and Tencent are defendants in a lawsuit for offering loot boxes in Brazil. For those unfamiliar with the term, loot boxes are surprise boxes, or reward boxes, offered in some game titles without prior disclosure to the user of the content they contain (that's why they're called surprise boxes). They have already caused legal problems in Europe, as they are considered a form of gambling.
The National Association of Centers for the Defense of the Rights of Children and Adolescents (ANCED) is responsible for the action. The organization filed a total of seven lawsuits in court, and included the companies that host games that offer loot boxes in Brazil in the middle of the process: Apple Computer Brasil LTDA, Microsoft do Brasil Importação, Google Brasil Internet LTDA and Sony Interactive Entertainment do Brasil.
The lawsuits filed by Anced against companies that sell and host games with loot boxes total an exorbitant amount: R$19,5 billion. The company's justification is that such practices cause “collective and individual damages”, mainly in children and teenagers, the largest consumers of this type of product.
ANCED's claim
“In games like FIFA, a famous football game, idols such as Neymar, Messi, Cristiano Ronaldo, among others, can only be obtained by opening these boxes. Children and teenagers have their idols and to be able to play with the character they have, it is necessary to open several reward boxes, and they may never obtain it. This practice constitutes, according to Brazilian legislation, a form of gambling, and is prohibited by the Law of Criminal Misdemeanors and the Statute of Children and Adolescents”, stated the company, on its official website.
ANCED alleged in the lawsuit that the practice of loot boxes is widely used in casinos, especially in roulette. And it mentioned that, in the case of games, audiovisual resources further increase the desire of children and adolescents for the so-called top prize, which may (or may not) be inside the surprise box. “If, for example, the player wins an item considered rare, the screen lights up with an animation and a special sound is emitted. This induces in the player a feeling of reward upon removing the item, which is even more serious in children and adolescents, as they are still developing, which often leads to addiction or the development of personality disorders.”
According to ANCED, which gathered data published on the website Games Industry, the gaming industry will have revenues close to US$ 160 billion (R$ 881 billion) by 2022. The organization also noted that, outside Brazil, the practice of loot boxes has also generated controversy and has already been the target of lawsuits. “In some countries, such as Belgium and the Netherlands, the loot box system has already been banned. Brazil needs to take a stand on this abusive practice,” concluded the Association.