The European Union's Court of Justice has ruled that consumers within the EU can legally resell downloaded games and software, overruling restrictions in End-User License Agreements (EULAs). This landmark decision stems from a legal dispute between UsedSoft and Oracle, establishing the principle of exhaustion of distribution rights. This means that once a copyright holder sells a copy granting unlimited use, the right to distribute is exhausted, enabling resale.

This ruling applies to digital games purchased via platforms such as Steam, GOG, and Epic Games. The original purchaser can legally transfer the license, allowing a new buyer to download the game. The court clarified that while the distribution right is exhausted, the right of reproduction remains; however, reproduction necessary for the lawful user's access is permitted. The initial buyer relinquishes access upon resale, providing a license code to the new owner. Practical implementation presents challenges, particularly regarding registration transfer.

The decision explicitly states that the seller cannot retain access after resale; continued use would constitute copyright infringement. Furthermore, the ruling prohibits the resale of backup copies. While this decision grants consumers greater control over their digital purchases, it also highlights the complexities of managing digital licenses and the need for a clear, regulated resale market. The ruling underscores that, within the EU, EULA clauses prohibiting resale are unenforceable concerning the initial sale of the digital license. The decision also clarifies that necessary reproductions for lawful use, such as downloading the game onto the new owner's computer, are permissible.