Sony argued that the mod chips were a breach of copyright under Australian law. Stevens was found in 2001 to have sold unauthorised copies of the games Croc 2, MediEvil, Motor Races World Tour and Porsche 2002, as well as having sold and installed mod chips to PS2 owners. The High Court today upheld an appeal by Sydney retailer Eddy Stevens, who has been involved in a four-year legal battle against Sony Computer Entertainment. But installing a modification chip circumvented the security measure, allowing gamers to be able to play games from overseas or copied titles. This meant games bought from overseas or copied games couldn't be played on normal PS2s. PlayStation game CDs come with a special access code that can only be read by the unit's boot ROM. In a decision that could have far reaching consequences for Sony, the High Court of Australia has found it is legal to mod chip a PS2. If you've got a mod-chipped PlayStation 2, then there's no reason to hide it away anymore.
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