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SSRN-Virtual Rule of Law by Michael Risch - 4 views

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    This article, which follows a presentation at the West Virginia Law Review Digital Entrepreneurship Symposium, is the first to consider whether virtual worlds provide a rule of law that sets expectations for virtual business. Many consider the rule of law a catalyst for economic development, and there is reason to believe that it will be equally important in virtual economies, despite differences from the real world. As more people turn to virtual worlds to earn a livelihood, the rule of law will become prominent in encouraging investments in virtual business. The article finds - unsurprisingly - that virtual worlds now lack many of the elements of the rule of law. Which aspects fail is more surprising, however. Provider agreements and computer software, the sources of regulation that are most often criticized as "anti-user," provide the best theoretical hope for achieving the rule of law, even if they currently fail in practice. On the contrary, widely proposed "reforms," such as community norms, self-regulation, and importation of real-world law face both theoretical and practical barriers to implementation of the rule of law in virtual worlds. Part I of the article describes virtual worlds and their connection to business. Part II defines a framework to measure the rule of law in virtual worlds. Part III discusses the various types of regulation in virtual worlds, and Part IV critically analyzes how these regulations measure up against rule of law requirements. The article concludes with some suggestions about how providers might enhance legal rule in virtual worlds.
Eloise Pasteur

DMCA notices in Second Life: A practical example - Massively - 0 views

  • The basic lessons here seem to be: The regulations governing DMCA notices are heavily in favor of the issuer. That's a matter of US law, and if that bothers you, you should speak with your United States federal representative. Act quickly, if a DMCA notice is filed against you and you wish to contest it. You have no time to dither. If someone files a notice against you, you have only two days to have a complete, correct and satisfactory counter-notification faxed to Linden Lab. Someone may file a DMCA notice against you with complete anonymity as far as you're concerned. While they have to give an identity to Linden Lab, that information is never available to you, unless they chose to pursue additional legal actions above and beyond DMCA notices. Once a DMCA notice has been filed, your identity is held hostage to whatever content has been nominated in the notice. You must divulge your identity to the person who filed the notice, via Linden Lab, in order to have your content returned to you. If your content should be returned to you by Linden Lab, the odds are that not all of it will be returned, and that some of it will be returned in an unusable form, or in a state that requires additional time and cost from you to restore it to original condition. The people utilizing the CopyrightAgent Linden account apparently need some training (or retraining) in the mechanics of the Second Life permissions system. While the Lab may be exempt from liability, it seems improper to carelessly damage or destroy a user's content in the act of restoring it.
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    Description of having a DCMA filed against you and the downside of it, even when you are innocent!
Eloise Pasteur

Accounting for Second Life - 0 views

  • Second what? Second Life is a virtual 3-D world on the Internet. Think of it as the marriage of online video game technology and social networking tools, like MySpace and Facebook, with e-commerce potential. It is not really a game and isn’t intended for children.
  • Public accounting’s presence in Second Life is called CPA Island. CPA Island may be a way to attract the next generation of young professionals to careers in public accounting.
  • Videos more easily capture the look and feel of Second Life. YouTube (www.youtube.com) has a good introductory overview video of Second Life (search “Second Life Text100”) as well as a video that illustrates its communication, education and collaboration possibilities (search “Second Life Ohio University”).
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  • Second Life is a global phenomenon. Reuters estimates that only 31.2% of active Second Life users are U.S. residents. The majority of active users (more than 54%) are from Europe. Second Life usage is so pervasive in Korea, for example, that it is beginning to impact the country’s social agenda, according to virtual world expert Edward Castronova.
  • In a recent interview for National Public Radio Weekend Edition (www.npr.org, Feb. 9, 08), Bloomfield described the basics of the Second Life economy and the real financial losses from the recent Second Life banking crisis. (The currency used for economic transactions in Second Life is called Linden Dollars. Linden Dollars can be exchanged for real U.S. dollars at a rate of approximately 260-to-1. Last year, Linden Lab banned online gambling operations that had become popular in Second Life. Early this year, Linden Lab banned unregulated banking operations in Second Life because several banks were reneging on unsustainable high interest rates on deposits.) Bloomfield attributes his initial interest in Second Life to its potential use as an economic simulator in which reactions to new financial regulations could be studied by FASB.
  • Professor Steven Hornik, of the University of Central Florida, is another accounting professor exploring accounting education applications. He created a Second Life location called Really Engaging Accounting and maintains a blog about his efforts at www.mydebitcredit.com. In his financial accounting course, he uses the social networking capabilities of Second Life and interactive 3-D objects that he creates. The objects demonstrate basic accounting principles. One simulates the effect of transactions on the basic accounting equation. Another simulates the use of T-accounts to record changes to account balances. Students use their avatars to manipulate the models. Videos of his Second Life creations are available on YouTube (search “second life accounting”).
  • SUMMARY Second Life is an immersive and engaging 3-D virtual world with economic implications and opportunities for the real world. CPA Island is the current center of the public accounting profession in Second Life, but this won’t be the case for long as other CPA firms choose to use it as a tool for meeting, connecting, sharing and collaborating with others. Where business activity goes, it seems certain that CPAs will follow.
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