Virtual Property Case Study

The Appellants’ Contention

This Court should allow Wan’s appeal as virtual property cannot be converted under the current law and any extension of the tort of conversion to virtual property is unsound and untenable.

1. Virtual property constitutes an intangible chose in action which cannot be converted under the current law

a) Virtual property cannot be converted as it is intangible

The courts in Singapore and the UK have adopted the position that only tangible property can be converted. Intangible property such as choses in action generally cannot be converted, though documentary intangibles are an exception (Alwie Handoyo v Tjong Very Sumito & Anor [2013] SGCA 44 [131], [2013] 4 SLR 308 [Alwie]; OBG Ltd v Allan [2007]. Generally, tangible

He argues the tort of conversion should be extended to other intangibles as that it is irrational to preclude them based on the absence of documentary evidence to their rights (OBG at [232]). However, it is erroneous to submit that contractual rights to intangibles can be converted as contractual obligations between two parties will not be discharged until the obligations have been fulfilled. Hence, a defendant who converts a documentary intangible does not deprive the claimant of his contractual right to the intangible (Douglas at

Real money is increasingly involved in virtual property transactions (Nelson DaCunha, “Virtual Property, Real Concerns” (2010) 4 Akron Intell. Prop. J. 35 [DaCunha] at 43) and as the Trial Judge observed, Singaporeans have increasingly used the virtual world to accumulate wealth. The case for extending the tort of conversion to protect virtual property rights may be strengthened by similarities between virtual property and real world property. Firstly, virtual property has exclusivity since players can exclude other users in the game from using their property (DaCunha at 41). Secondly, it also exhibits a degree of permanence since players can access their acquired property every time they log into their accounts (DaCunha at 42). Furthermore, players can transfer their property to other users (DaCunha at