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Does Buying a Digital Game Mean You Own It? What California’s AB 2426 Requires

California’s AB 2426 requires sellers to clarify when a covered digital game is licensed, but it does not ban “buy,” require downloads, or make every purchase revocable.
Length4 min Posted Quest giverVGSources Team
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No—buying a digital game does not necessarily mean you own it outright. California’s AB 2426 requires sellers to clarify when a covered digital game is licensed rather than sold with unrestricted ownership if they advertise it as something you can “buy” or “purchase.” But the law does not ban those words, require every game to be downloadable, or declare that every digital purchase can be revoked.

What California’s AB 2426 changes

AB 2426 added Section 17500.6 to the California Business and Professions Code. It covers digital goods including digital applications and games, as well as add-ons and additional content. The law targets sales language: a seller offering a covered good cannot use “buy,” “purchase,” or other wording a reasonable person would understand to promise unrestricted ownership without following one of the statute’s disclosure routes. The same requirement applies when the seller offers the good alongside a time-limited rental option. Read AB 2426’s enrolled text and chapter status.

That is a disclosure rule, not a ban on digital game sales. It also does not mean the law treats every transaction as a revocable license: the statute excludes goods the seller cannot revoke after the transaction.

How sellers can disclose a game license

The law provides two routes. The acknowledgment or disclosure must be distinct and separate from other terms the purchaser acknowledges or agrees to.

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Get an acknowledgment at the transaction

At each transaction, the seller can obtain the purchaser’s affirmative acknowledgment that the good is licensed. The acknowledgment must provide a complete list of restrictions and conditions and, where applicable, explain that access may be unilaterally revoked if the seller no longer holds the rights to the good.

Show a clear license notice before the transaction

Alternatively, before the transaction, the seller can display a clear and conspicuous plain-language statement that buying or purchasing the good is a license, with a hyperlink, QR code, or similar way to access the full license terms. The enrolled bill describes ways a notice may stand out, such as larger or contrasting type, font, or color, or symbols or marks that set the language apart.

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What the law does not require—and what it excludes

  • No mandatory download: AB 2426 does not require a seller to let customers download a digital good. It also does not prohibit storing a good on a server for internet access.
  • Subscription-only access: The law excludes subscription services that sell access solely for the subscription period.
  • Goods provided at no monetary cost: The statute excludes goods offered for no monetary consideration.
  • Goods the seller cannot revoke: These are excluded too. The bill gives a permanent offline download to external storage that works without an internet connection as an example.

That offline-download example is an exclusion, not a general rule that games must be offered this way. The statute’s wording does not establish that every digital purchase is revocable; whether a particular title falls into an exclusion depends on the relevant circumstances and terms.

When the law took effect

AB 2426 was chaptered on September 24, 2024, as Chapter 513 of the Statutes of 2024. Current reporting states that it took effect on January 1, 2025. GovTech’s report on the law’s effective date describes its application to digital retailers.

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Digital game versus disc or cartridge: what to compare

AB 2426 does not rank physical and digital editions by durability. A disc or cartridge is a physical copy, but that alone does not establish that a particular game will work indefinitely or independently of online infrastructure, publisher support, account access, updates, or required downloads. When comparing editions, check:

  • Whether the seller can revoke access under the applicable license or platform terms.
  • Whether the game can be played offline, and what must be installed or downloaded first.
  • Whether the title depends on servers, an account, updates, or other online services.
  • Whether a disc or cartridge edition is actually available for your platform.

Legislative committee analyses discuss the shift from physical media toward digital libraries and access, but they do not establish that every physical copy is independent of online services. See the California Assembly policy committee analysis and the California Senate Judiciary Committee analysis.

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What to check before purchasing a digital game

  1. Read the notice shown before checkout. Look for a separate, plain-language statement that the transaction grants a license rather than unrestricted ownership.
  2. Open the linked terms. Check restrictions, conditions, and any explanation of when access may be revoked.
  3. Check how the game works. Confirm whether offline play is available and whether installation, an account, updates, or servers are required.
  4. Compare the edition that is actually offered. If you prefer physical media, verify that a disc or cartridge edition exists for your platform and what the game still requires online.

AB 2426 was signed in 2024. In the announcement, University of Michigan law professor Aaron Perzanowski characterized its significance this way: “California is now the first state to recognize that when digital media retailers use terms like ‘buy’ and ‘purchase’ to advertise digital media licenses, they are engaged in false advertising.” That is his assessment of the law’s significance, not statutory wording or a judicial finding. Read the Assemblymember’s signing announcement.

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