Ultracade's Alleged Counterfeit Arcade Game Racket

is there a cliffsnotes version?

John D. Andersen looks into claims that parties related to the creators of the Ultracade arcade game cabinet counterfeited numerous classic arcade games for public sale in the West, with extensive background on the fascinating case and claims from SNK Playmore, Tecmo, G-Mode, and Jaleco that their IP was used without their knowledge.

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So dude was basically claiming that he had the rights to sell game packs that he never had the rights to. Never obtained the licensing that he advertised that he had obtained...

Then, fast forward a few years, this bootlegging stuff, he's claiming Global VR didn't make scheduled payments to him as part of their agreement, so rather than go to court, he decides to just pirate their stuff...
Did I miss anything?
Somehow I doubt Mr. Foley will be showing up here to defend himself...

This is seriously going to f**k people over who thought they owned legitimate licensed games, and paid a premium for them.
 
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A good faith buyer should be immune from liability...

I'm sure they won't go after the individual machine owners, I was more referring to the investment they made in these machines. They paid a premium to get licensed, legal boxes, and what they ended up with are basically no better than a Mame setup. Resale will virtually be out of the question... Plus those game packs were really expensive. Considering that purchasers paid $595 for the sports pack, and it was as legal as downloading roms off the net for free, I would think that there may be a class action lawsuit in the future... But Damn those guys had to be raking it in, charging and keeping virtually 100% of profit...

You bring up an interesting point though, while the buyers will be immune, I don't think the retailers will be. I'm a bit surprised that the legal departments of Costco, SkyMall and Hammacher Schlemmer were not able to figure this scam out.
 
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yep there was a post about foley in the chat about anything section a few weeks ago..
 
Interesting, if long, read.

However, it's interesting that it has taken these companies up to 9 years before they realized, "Hey, this company is selling our property without our permission."

If I was Tecmo, Midway or Namco. I'd be firing my copyright lawyers for being so sloppy and letting this go this long without being noticed. Especially since here within the last 5-6 years these companies have been making sh*loads of money on re-releasing and selling there CLASSIC IPs for the Playstation, PC, XBOX, Nintendo etc..... but they never once looked into the Ultracades(that were sold at retail stores) to see if those were licensed legally? Like I said, bad lawyers on the copyright holders side.

And you can't necessarily blame Costco for selling these, as they were told they were legit. And Costco probably doesn't do background checks for all the merchandise they sell.

Foley was in the wrong, pure and simple. Probably will get a slap on the wrist or a cell mate named bubba. Who knows, knowing OUR justice system.

Kind of makes a person wonder if this will awaken some of those companies and whether they will pursue in stopping and protecting there games from the makers of the 48 in 1 or 60 in 1's or the 1600+ in one's.

Mame roms and emulators would be kind of hard to control , but these manufactured boards might be on the next chopping block. Who knows......




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i suspect the money's too small and it would be too hard to get to the manufacturers in Asia to stop production of the xx-in-1 boards.

now, if the manufacturers were charging what Ultracade did and the boards were being used widely in commercial settings, i could see it being more likely that they would do so.
 
So dude was basically claiming that he had the rights to sell game packs that he never had the rights to. Never obtained the licensing that he advertised that he had obtained...

Then, fast forward a few years, this bootlegging stuff, he's claiming Global VR didn't make scheduled payments to him as part of their agreement, so rather than go to court, he decides to just pirate their stuff...
Did I miss anything?
Somehow I doubt Mr. Foley will be showing up here to defend himself...

This is seriously going to f**k people over who thought they owned legitimate licensed games, and paid a premium for them.

All UltraCade Technologies products, including, but not limited to the various
iterations of the multi-game classic arcade system and add-on game packs were
legal. Customers of these products may rest assured that they have a legitimate
product.


UltraCade Technologies is authorized by many publishers from America and Japan
to act as a representative in protecting the rights of those publishers, and to
identify and put a stop to unauthorized distribution of illegitimate classic games.


In all cases, every copy of a game published was acquired through methods that
were reviewed by counsel and shared with publishers. We employed many methods
to obtain rights to sell games. Games were acquired through direct licenses
with the publishers. Games were acquired by purchasing copies from resellers
authorized to sell the games. Games were acquired through the purchase of
inventory of those games. Games were acquired through the purchase of assets of
bankrupt companies. UltraCade Technologies paid millions of dollars in royalties,
license fees and game purchases to American and Japanese companies for the right
to sell games on the multi-game platforms.


UltraCade Technologies and its products went through several due diligence reviews
by publishers and outside companies, and in all cases always provided documentation
to ensure the legitimacy of its products. Any claims that the products were not
legal are simply a thinly veiled effort to slander the company, its management,
or products.
 
Sounds like your squared away. As long as your paperwork and licenses are in order it doesnt look like you have anything to worry about, except maybe another hit to your rep.

this is neither support or damnnation of Foley. I dont know the man, and dont do or support Mame.
 
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FTFA:"Foley also appeared to have filed a claim for Mr. Do at the U.S. Copyright Office under his own name (Registration number: Txu-1-217-203). On February 23rd, 2004 a claim for the title would be made as "Mr. Do]", the claimant would be Foley himself, and the claim limit would consist of "New Matter: new & rev. text of computer program." Foley would make a claim once again for the same title at the U.S. Copyright Office two days later (Registration number: Vau-619-200), in which the claim limit consisted of "New matter: revisions & additions". The description for this filing would consist of "Art Original"."


LOL Were you trying to protect "mr do" along with "mame".
I am not the type to enjoy the problems of others but the more I read about this, the more I feel this couldn't have happened to a nicer guy.
 
FTFA:"Foley also appeared to have filed a claim for Mr. Do at the U.S. Copyright Office under his own name (Registration number: Txu-1-217-203). On February 23rd, 2004 a claim for the title would be made as "Mr. Do]", the claimant would be Foley himself, and the claim limit would consist of "New Matter: new & rev. text of computer program." Foley would make a claim once again for the same title at the U.S. Copyright Office two days later (Registration number: Vau-619-200), in which the claim limit consisted of "New matter: revisions & additions". The description for this filing would consist of "Art Original"."


LOL Were you trying to protect "mr do" along with "mame".
I am not the type to enjoy the problems of others but the more I read about this, the more I feel this couldn't have happened to a nicer guy.

We had filed to protect the rights that were acquired in the character.
 
All UltraCade Technologies products, including, but not limited to the various
iterations of the multi-game classic arcade system and add-on game packs were
legal. Customers of these products may rest assured that they have a legitimate
product.

Apparently G-Mode, Jaleco, SNK Playmore, Tecmo, and Namco America disagree with you.

Alex Kameda, G-mode's Overseas Business Manager, released this statement to Gamasutra on July 23rd, 2009:

"G-mode has no recollection or documentation of licensing out our Data East titles to Ultracade or to Mr. Foley himself, and G-mode hopes that these indictments help move and strengthen video game anti-piracy in the appropriate direction."

When contacted about Ultracade's usage of Jaleco properties, the indictment, and its games still being listed on Daddona's website, Norisada Kiuchi, public relations and marketing representative of Tokyo based Jaleco Games released this July 22nd, 2009 statement to Gamasutra:

"We checked these matters which you informed us of and found there's no evidence that Jaleco had licensed to the companies Ultracade and Hyperware, and the person David R Foley".

The Tecmo properties on Ultracade and the Ultracade Sports Pack included: Bomb Jack, Bomb Jack Twin, Grid Iron Fight, Pinball Action, Saboten Bombers, and Tehkan World Cup. Formerly known as Tehkan, the company changed its name to Tecmo in January of 1986. Tecmo Inc. spokeswoman Aileen Viray released this statement to Gamasutra on July 16th, 2009.

"Thank you very much for letting us know about this because we were unaware our games were being sold or pirated. Tecmo was not aware of the lawsuit or the indictment against Mr. David R. Foley until your e-mail reached us. We never had a legitimate licensing contract with Foley to sell our games on his Ultracade console and we hope the case is brought to justice.

Legal, authentic classic Tecmo arcade titles that are currently available include Tecmo Classic Arcade released on Xbox in 2005 and downloadable titles released on Wii's Virtual Console: Solomon's Key, Tecmo Bowl, Mighty Bomb Jack, Ninja Gaiden, Ninja Gaiden II, Ninja Gaiden III".

One such company that was able to make a statement in 2006 was SNK Playmore USA. Super Champion Baseball (developed by Alpha Denshi in 1989), and Super Dodge Ball (developed by Technos Japan for the Neo-Geo in 1996) are advertised as being included on the Ultracade Sports Pack in 2004. Eric Feiner, then sales & marketing vice-president of SNK Playmore USA in 2006, provided this comment:

"The two titles you mentioned are in fact owned by SNK Playmore Corp. However, I cannot confirm if the games in the Ultracade are SNK originals since we have never played or tested the games on the system. Also, SNK has not licensed the two titles to Ultracade Technologies. They are using the games without SNK Playmore Corp. approval. Just to be clear, both Alpha and Technos were former developers for SNK, however they have gone out of business and the IP [of those two games] is owned by SNK Playmore Corp."

Gamasutra recently contacted Yoshihito Koyama, SNK Playmore's General Manager of International Marketing. He examined the screenshots on the Ultracade Sports Pack flyers advertising Super Champion Baseball, and the 1996 Neo-Geo version of Super Dodge Ball, confirming that both titles are SNK Playmore intellectual properties. Koyama has been a long-time employee of SNK since 1991.

"No, we never licensed both games to them", Koyama claimed via a July 17th, 2009 email from the Los Angeles office of SNK Playmore USA, adding emphatically, "They never ever asked to license from us!"

Namco America, Namco's coin-op division based in Elk Grove Village, Illinois had previously spoken out and taken certain legal action against Ultracade Technologies as early as 2003. Namco America discovered Foley was taking individual copies of Microsoft Return of the Arcade Anniversary Edition, pre-installing it on Ultracade, and then selling it to arcades. The 2000 release of Microsoft Return of the Arcade included Pac-Man, Ms. Pac-Man, Pole-Position, Galaxian, and Dig-Dug for Windows. In a March 2003 article posted on The Vending Times, then Namco America president Kevin Hayes made the company position clear:

"Ultracade is completely out of bounds in selling 'Pac-Man' or any other Namco titles for arcade use with their system. They have not licensed it from Namco or anyone else. Operators buying Namco titles from them should realize they are buying an unlicensed, illegal product and that Namco is taking appropriate action to protect its intellectual property from misuse / theft."
 
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I acquired rights to many games and characters in the period from 2002 to 2005, including Mr. Do! and filed dozens of copyrights on both games and characters based on those acquisition agreements.

So everyone at all these companies are lying, dang you must have the worst luck in the world.

BTW: Did you sue them when they released mr do for mobile phones?
Seems this would be a slam dunk since you own it.
 
So everyone at all these companies are lying, dang you must have the worst luck in the world.

BTW: Did you sue them when they released mr do for mobile phones?
Seems this would be a slam dunk since you own it.

Our VP of Business development met with them in 2005 in Japan to and reviewed all of the issues related to licenses and characters. Updated deals were made and the games were continued to ship on both mobilie platforms as well as UC based platforms.
 
I thought you were supposed to be smart - wtf are you doing discussing pending litigation on a MESSAGE BOARD?

You stayed away from it earlier, but your ego has gotten the best of you, your lawyers are going to be pissed.
 
I thought you were supposed to be smart - wtf are you doing discussing pending litigation on a MESSAGE BOARD?

You stayed away from it earlier, but your ego has gotten the best of you, your lawyers are going to be pissed.

This has nothing to do with my litigation.
 
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