Every day, people turn to third-party marketplaces like PlayerAuctions to buy and sell digital goods, be it high-leveled World of Warcraft, rare Fortnite skins, status-building Neopets, or Grand Theft Auto 5 in-game money. On Tuesday, Roblox filed a lawsuit to shut down the buying-and-selling of Roblox digital goods on PlayerAuctions.
Third-party marketplaces occupy a grey area: they’re not necessarily illegal, but using them often violates a game’s terms of service for the player. But because PlayerAuctions uses the company’s trademarks on the website, Roblox is looking to the court to get its products off the site due to infringement and interference with player terms of service, providing an avenue for players to break the rules, according to the lawsuit reviewed by Polygon. Monetary damages are on the table for Roblox, but according to the company’s lawyers, that isn’t enough: Roblox wants the court to order PlayerAuctions to stop the buying, selling, and trading of Roblox stuff.
Roblox said in its lawsuit that it carefully manages its economy, calling its “gross domestic product,” which is basically the market value of its entire economy, as comparable to that of “certain smaller nations.” PlayerAuctions, it said, is “undercutting Roblox’s business” and disrupting its economy.
“Roblox is committed to promoting the safety and security of its users and protecting its intellectual property,” a spokesperson for the company told Polygon. “Third-party sites like these have no legal affiliation to Roblox, operate unauthorized marketplaces in violation of Roblox’s Terms of Use and Community Standards, and can be confusing to Roblox users. The Company will continue to be vigilant to combat unauthorized use of our platform and hold those responsible accountable for their actions.”
Roblox itself is more than a game — it’s a platform for other developers to publish their own games, and offerings available on PlayerAuctions, which are among the site’s most popular, reflect that. You can pay for boosting services — paying someone to level up an account — for Roblox games Bloxburg or Blox Fruit, buy an account with a specific username, purchase gems for Pet Simulator, or buy a rare pet for Adopt Me. Prices run the gamut from $5 for the Adopt Me pet to $30 for a four letter username. Roblox said in the lawsuit that players using PlayerAuctions can be banned for such an activity; it estimates that of players banned for real-money trading, eight to 10% of users mention using PlayerAuctions.
Typically, payment on PlayerAuctions happens on-site, then the digital goods are transferred over to the purchaser within Roblox itself. “Here’s our hassle-free delivery process: I’ll shoot you a friend request,” one seller wrote. “Once accepted, join me in-game, and I’ll swiftly send over the trade you purchased.” Once the delivery is confirmed, the money is released by PlayerAuctions, per a graphic on its website. Roblox argued in its lawsuit that the use of Roblox itself in the delivery of goods is confusing to players; of players appealing bans or suspensions, Roblox said 12 to 15% of people don’t realize PlayerAuctions or other third-party marketplaces are against the Roblox rules.
Beyond the injunction to stop the selling of Roblox goods on PlayerAuctions, Roblox is looking to the court to award damages for trademark counterfeiting and infringement and “punitive damages sufficient to deter future unlawful conduct.”
Polygon has reached out to PlayerAuctions for comment.
