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I have taken a peek at copyright laws and Eula's before I blogged, honest ;) They conflict! Especially when it comes to software and even judicial rulings aren't consistent. Eula's are generally used to circumvent copyright laws in the case of software.

In the case of artwork, although I can see how the artwork itself is copyrighted, is its usage protected in terms of a user taking it to another grid (and using it in the same fashion they do in Second Life)? Do you still own the item or has item ownership been transferred to the user?