This week in the GME3 we have a new legal challenge related to igaming in the sunshine state, groundbreaking social media laws in the European Union, and an update to the ongoing SAG-AFTRA strike. Find the full stories below!
Gambling
Florida Man Upsets Casinos
Florida casinos have challenged a $2.5 billion deal made between the Seminole Tribe and the state government, run by Governor Ron DeSantis.
In 2021, DeSantis and the Florida state government arranged a deal with the Seminole Tribe to allow “off-reservation” betting through a mobile sports betting app. The argument is that bets made through the app are deemed to have occurred “on Indigenous lands”, as that’s where the bets are received and processed. Casinos have challenged the deal on the basis that the Florida state constitution would have to be amended if the Tribe wanted to expand gaming beyond their lands.
This is coming after the casinos lost a federal case earlier this year. Initially, the casinos attempted to argue that the deal undermined the Indian Gaming Regulatory Act (IGRA), the federal law which governs gaming on reservations. In the ruling, the federal judges suggested that this case was best settled on a state level.
As such, the casinos have taken their case to the Florida Supreme Court. It’s interesting to contrast their approach to registered igaming versus what we see here in Ontario. The Floridian gaming operators feel like they’ve been frozen out of participating in the igaming market, while the registered market in Ontario has been booming in the year and a half since it launched. We’ll be keeping an eye on this case, so be sure to follow GME Law on LinkedIn for future updates!
Media
(Dis)Information Wars
The EU’s Digital Services Act (DSA) has come into effect and is expected to face some backlash from social media companies in the coming weeks. The DSA aims to force social media companies to enact stricter policies around the dissemination of inaccurate or otherwise harmful content on their platforms.
This sets the stage for a conflict with Elon Musk, the owner of X (formerly known as Twitter), who has been especially litigious since taking over the social media brand. While X withdrew from the EU’s code of conduct earlier this year, they have no choice but to comply with the DSA if they want to continue operating in the European market.
This law came into effect at an interesting time, with upcoming elections in several European countries, including Slovakia, Luxembourg, and Poland. European elections, like ours in North America, have become bombarded with disinformation. It will be interesting to see if the DSA can slow the proliferation of fake news on social media. This comes after the EU released a report showing the efforts to stop the spread of Russian disinformation on social media in the year after the 2022 Ukrainian invasion were insufficient.
This is substantially different from the American approach to the subject, where a federal appeals court ruled that the Biden administration likely violated the First Amendment by urging social media companies to remove harmful content. If the EU is successful in enforcing the DSA it could set a precedent for how social media companies should treat harmful content across the globe.
Entertainment
Write on for Writers, Game On for Actors
The Writers Guild of America (WGA) strike is finally over as of 12:01 a.m. Wednesday morning. A deal was reached between the WGA and the Alliance of Motion Picture and Television Producers (AMPTP). Sticking points in the negotiations included the use of generative AI in the creative process, minimum staffing requirements for writers’ rooms, and streaming residuals for writers.
Some of the specifics of the use of AI include:
AI can’t write or rewrite literary material, and AI-generated material will not be considered source material under the MBA.
A writer can choose to use AI when performing writing services if the company consents and provides that the writer follows applicable company policies, but the company can’t require the writer to use AI software (e.g., ChatGPT) when performing writing services.
The Company must disclose to the writer if any materials given to the writer have been generated by AI or incorporate AI-generated material.
The WGA reserves the right to assert that exploitation of writers’ material to train AI is prohibited by MBA or other law.
However, despite this victory for writers, the Screen Actors Guild-American Federation of Radio and Television Artists (SAG-AFTRA) remains on the picket line as their strike continues.
In fact, the actors have voted to expand their strike to the video game industry, prohibiting members from contributing any voice work, motion capture, or stunts. Actors face similar issues in the games industry as they do in the movie industry – wages, safety issues, and the use of AI. This is the first strike we’ve seen extended to video game studios since 2016 when actors struck over residuals from voice acting work. The 2016 strike lasted 340 days, and to this day is the longest SAG-AFTRA strike in history.
Now that the WGA strike is settled, we’ll likely see studios wanting to return to the negotiating table with actors, so it’s hard to say how video game studios will be affected by this development.
GME Law is Jack Tadman, Zack Pearlstein, Lindsay Anderson, and Will Sarwer-Foner Androsoff. Jack’s practice has focused exclusively on gaming law since he was an articling student in 2010, acting for the usual players in the gaming and quasi-gaming space. Zack joined Jack in September 2022. In addition to collaborating with Jack, and with a keen interest in privacy law, Zack brings a practice focused on issues unique to social media, influencer marketing, and video gaming. Lindsay is the most recent addition to the team, bringing her experience as a negotiator and contracts attorney, specializing in commercial technology, SaaS services, and data privacy.
At our firm, we are enthusiastic about aiding players in the gaming space, including sports leagues, media companies, advertisers, and more. Our specialized knowledge in these industries allows us to provide tailored solutions to our clients’ unique legal needs. Reach out to us HERE or contact Jack directly at jack@gmelawyers.com if you want to learn more!
Check out some of our previous editions of the GME3 HERE and HERE, and be sure to follow us on LinkedIn to be notified of new posts, keep up to date with industry news, and more!