Law No. 14.852 came into force in Brazil last May, establishing the legal framework for the electronic games industry in the country. The games industry in Brazil has experienced significant growth in recent decades, becoming one of the most dynamic and promising sectors of the creative economy. With a player base exceeding 75 million, according to the "Pesquisa Game Brasil (PGB) 2022", corresponding to approximately 37% of the total population, the Brazilian electronic games market represents around US$ 2.3 billion per year, according to Newzoo, one of the leading games market analysis companies.
This growth contributes to job creation and technological innovation while also bringing challenges from a legal and operational standpoint. Until recently, issues related to electronic games in Brazil were treated generically, especially by laws No. 12.965/2014 (Brazilian Civil Rights Framework for the Internet), the personal data protection law – LGPD–(Law No. 13.709/2018), the Child and Adolescent Statute (Law No. 8.069/1990), and consumer protection laws.
To minimize the legal challenges in the sector, Law No. 14.852 arrives at an opportune moment, bringing more specific and comprehensive regulation to the electronic games industry in Brazil and close gaps that previously existed.
The legal framework of the electronic games industry addresses aspects such as: (i) the establishment of clear criteria for the age classification of games; (ii) measures to ensure the safety and well-being of children in the electronic gaming environment; (iii) incentives for the growth and development of the gaming industry in Brazil; (iv) rules that promote transparency in operations and the accountability of developers and distributors; and (v) protection of the intellectual property rights of game creators.
Defining electronic games as interactive audiovisual works developed as computer programs and subject to the actions and interactions of the player with the interface, the law includes within this concept devices dedicated to running electronic games (hardware) or software executed through mobile applications, web pages, or consoles. Likewise, games in virtual, augmented, mixed, and extended realities are also included, excluding, however, lottery games or any form of gambling.
The positive points of Law No. 14.852 can be summarized as follows:
- Comprehensive Regulation:
Before Law No. 14.852, the regulation of the electronic games industry was fragmented and dispersed across several laws and decrees. The new guidelines provide greater protection as they are more detailed and directed towards electronic games.
- Free Manufacturing, Importation, Commercialization, Development, and Commercial Use of Electronic Games:
The law dispenses prior state authorization, limiting state intervention in the manufacturing, importation, commercialization, development, and commercial use of electronic games, but reserves the prerogative of indicative age classification, considering the risks related to the use of microtransaction mechanisms.
- Protection of Children and Adolescents:
The new law includes specific measures to protect children and adolescents, such as parental supervision tools, purchase restrictions, and reporting mechanisms to prevent abuse and exposure to violence.
- Incentives for Local Development:
The legal framework for electronic games brings specific incentives for research, development, and innovation, promoting cultural diversity and the development of the production and co-production of independent Brazilian electronic games, in addition to supporting the training of human resources, through specialization courses. Consequently, an increase in the formalization and professionalization of the sector is expected, generating thousands of new direct and indirect jobs.
Law No. 14.852 also encourages the development of startups by offering tax incentives and support through the Rouanet and Audiovisual Laws (Law No. 8.313/1991 and 8.685/1993).
- Transparency and Responsibility:
The requirement for transparency on electronic game platforms and the creation of reporting and decision review systems are important steps for holding companies accountable, something that was less specific before.
- Diversity of Applications:
The law recognizes and encourages the use of electronic games for educational, therapeutic, training, and communication purposes, expanding the scope of application of these games and promoting specific public policies for these purposes.
From the perspective of Intellectual Property, Law No. 14.852 amends art. 2 of the Brazilian Industrial Property Law – IPL (Law No. 9.279/1996) , to include section VI, providing for the registration of electronic games as a means of protecting rights related to Industrial Property.
Despite the benefits of the legal framework for games in Brazil, piracy tends to remain a significant challenge for the gaming sector. In this context, the pursuit of protecting IP rights related to electronic games is crucial to ensure they are commercially exploited, preventing unauthorized use by third parties.
Within this context, a few recommendations for the Protection of Intellectual Property of Electronic Games must be kept in mind, such as:
- Copyrights:
Copyrights protect literary, artistic, and scientific works, including the source code of computer programs, design, music, and game narratives. In Brazil, copyrights are regulated by Law No. 9.610/1998, which protects intellectual works from the moment of their creation, without the need for registration, although registration can be useful in legal disputes. In games, copyrights protect elements such as source code, graphic design, soundtrack, and narrative, divided into the following types of registration:
- Software Registration: The source code of computer programs are subject to registration at the Brazilian Patent Trademark Office (BRPTO).
- Artistic Works Registration: Graphic design, scenarios, characters, soundtrack, and game narrative/plot can be registered at the Brazilian Copyright Office.
Both registrations have the purpose of avoiding doubts/ questions about the date of creation of the software/ artistic work and ownership.
- Trademark Registration:
Trademarks are regulated by the Industrial Property Law (Law No. 9.279/1996) and is registered by the BRPTO. Brazil adopts the first-to-file system, i.e., the applicant with the earliest filing date holds prior rights over a trademark. In the context of games, registered trademarks protect the names of games, logos, and other distinctive signs that identify products and services. Trademark registration is essential to prevent third parties from using similar signs that may cause consumer confusion.
- Patents:
Although less common in the gaming industry, patents can be applied to technological innovations. The Industrial Property Law also regulates patents in Brazil, and the registration must be submitted to the BRPTO. Innovations such as new game mechanisms, augmented and virtual reality technologies, consoles, remote controls, and data compression methods can be patented to protect the rights of inventors.
As can be seen, the legal framework for games in Brazil represents a significant advancement for the industry, establishing clear guidelines for the sector with the potential to generate a robust economic impact, attract national and international investments, and expand job opportunities in areas such as software development, graphic design, marketing, and technical support.
Compared to other international legislation, the gaming legal framework consolidates Brazil as a relevant player in the global electronic games scenario, although there is still room for improvement.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.