Beruflich Dokumente
Kultur Dokumente
Plaintiff,
v.
Defendants,
_____________________________________/
I, Andrew Couch, hereby declare, upon penalty of perjury, that the following is true and
1. I am a California resident. I have first-hand knowledge of the facts stated here and
2. I am the co-founder and CEO of Candy Lab, Inc. (Candy Lab AR), a location-
based augmented reality technology company incorporated in Nevada and based in Irvine,
California.
regulating the publication of location-based augmented reality games out of genuine fear and
apprehension that this ordinance, conceptually and as written, poses a mortal threat not only to
Candy Lab ARs new location-based augmented reality game, but also to its entire business
4. I co-founded Candy Lab AR April 11th 2011. Candy Lab AR develops software
for location-based mobile device applications. Location-based applications track the geolocation
of the device running the application in real time, and allow the user to interact with certain
Augmented reality (or AR) refers to the conveyance of digital information in a manner that is
overlaid upon, or otherwise blended with, a persons perception of their physical surroundings,
creating the illusion that the digital and physical content is combined. In this way, AR augments
a persons perception of physical reality. Although the term augmented reality can describe the
digital enhancement of any physical sense (including hearing and touch), it is most commonly
image that appears on the display screen of the mobile device. The application overlays the
image on top of a live video display from the devices rear-facing video camera, creating the
illusion that the digital image is physically present on the other side of the users device.
augmented reality experience on a mobile device. In the photo, a person is holding up a mobile
device and seeing a live video image of the physical location in front of them, except with a
digital image (here, a treasure chest) overlaid on top of the video feed. The effect is to create the
illusion that the digital image is physically present in front of the user.
particular geolocation. That means that any person using the application will see the same image
in the same physical place, regardless of the users location or the direction from which the user
is viewing the image. This further enhances the illusion that the digital object is present in
physical space. It is also what Candy Lab AR means by the phrase location-based augmented
reality.
9. The two images below illustrate how this location-based augmented reality
experience is created. The first image shows a Candy Lab AR employee using a desktop
computer in Candy Lab ARs offices to program its mobile application to display a particular
image at a specific set of physical coordinates (indicated by the red dot on the map):
VentureBeat, Cachetown is a mobile app technology that uses your smartphones camera to turn
the world into a video game via augmented reality with lots of advertising potential for
brands.1
11. Candy Lab AR creates not only its own applications, but also licenses its
proprietary software engine for use in white label location-based applications offered by other
companies.
12. In late 2012, a company called Niantic, Inc. (a spin-off from Google, Inc.)
released a location-based augmented reality game called Ingress. That mobile application
allowed players around the world to engage in a science fiction storyline by interacting with
digital content (called portals) accessible at specific geolocations. Some of these portal
locations were assigned by Niantic, while others were submitted by users. Niantics announced
policy was to locate the portals on public land, monuments, and other publicly accessible
locations. Players can find the portals using the games mapping feature.
13. In the Summer of 2016, Niantic released the location-based augmented reality
game Pokemon Go. From public reports and the general understanding within the AR industry,
this game used the same geolocation data collected for Ingress, and rebranded it with Pokemon-
related creative content. Portals became PokeStops. As with Ingress and other similar games,
players of Pokemon Go are able to gain certain in-game digital content by interacting with the
PokeStops available at fixed geolocations. Players are also able to capture Pokemon creatures
that the game spawns at random intervals and at random physical locations. This aspect of the
1
https://venturebeat.com/2012/10/02/cachetown-wants-to-bring-mobile-advertising-to-the-third-dimension-with-
gamification-augmented-reality/
14. I am also aware of several other publicly available mobile gaming applications
15. On March 10, 2017, at the annual South By Southwest (SXSW) technology
festival in Austin, Texas, Candy Lab AR announced the first ever location-based, augmented
16. Based on the popular poker variant Texas Hold Em, Texas Rope Em allows
users to play poker hands against a computer-controlled dealer. Upon opening the application,
players begin with two random playing cards. Because a Texas Hold Em hand consists of five
cards, players must collect additional cards to build their hands. They accomplish this by visiting
certain physical locations (game stops) that have been programmed into the application. Upon
arriving at each game stop, the application reveals two more random cards, of which the player
can select one to add to their hand. Once players build a five-card hand, they may visit up to
three additional game stops to discover additional cards that may improve their hand.
17. The player may then play their hand against the computer-controlled dealers
hand. Points and other prizes are awarded for victories. Win or lose, players may then start the
process over by building a new hand, and may share their results with friends via social media.
18. Texas Rope Em includes a two-dimensional map display to direct users to the
various game stops at which cards may be discovered. Below is a screen capture from the game
displaying the pre-programmed game stops within Milwaukee Countys Lake Park at which
the map, the player sees an image and dialogue in three-dimensional augmented reality similar to
within the application that can be downloaded to a users mobile device. The content displayed
to users by the application is either resident within the application software, gathered by the
sensors built into the device (such as GPS, rotational sensors, and accelerometers), or retrieved
by the application from an internet server. The application is currently available for download
through both the iOS App Store (for Apple devices) and Google Play (for Android devices).
location-based AR games such as Pokemon Go, Candy Lab expects Texas Rope Em to be a
popular game.
22. Texas Rope Em is currently in beta form, meaning that although it is publicly
available for download and use, its functionality is limited compared to the anticipated full
public release. As of this date, the game is only playable in select cities, including Austin,
Milwaukee, and London. Candy Lab AR is scheduled to showcase the game at technology
23. Candy Lab AR issued a press release about Texas Rope Em in connection with
its release at SXSW, and advertises the game on Candy Labs website and on social media.
24. Candy Lab AR plans to release the full version of Texas Rope Em in the second
quarter of 2017. Candy Lab AR does not intend to populate all of the game stops in that version
of the game before release. Rather, the game will be designed to allow individuals in various
cities to submit locations to be used as game stops, which Candy Lab AR will then make
Niantic gathered the location data used to create game stops for Ingress and Pokemon Go.
am informed, was passed by the Milwaukee County Board of Supervisors on February 2, 2017
and published on February 20, 2017 (the Ordinance, attached as Ex A). The Ordinance
amended Section 47.03 of the Milwaukee County Code of General Ordinances, to establish a
Ex A at 3.
27. The Ordinance defines virtual gaming as an activity during which a person can
experience being in a three-dimensional environment and interact with that environment during a
game, and the game typically consists of an artificial world of images and sounds created by a
computer that is affected by the actions of a person who is experiencing it; and ... [further
provides that] Pokmon Go fits the characteristics defined by virtual gaming and is considered as
28. The Ordinance does not define what it means by the term location-based
augmented reality games, other than to repeatedly imply that Pokemon Go is such a game. As
the owner of a business that develops software with both geolocation and augmented reality
capabilities, I certainly have an understanding of what I believe the term to mean, and I believe
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29. Because location-based and augmented reality software is the heart of Candy Lab
ARs business, the company intends to continue developing and publishing all manner of games
with various forms of these functionalitiesincluding some that may be considered virtual
30. The text of the Ordinance is incredibly vague, to the point where it is impossible
for me or Candy Lab AR to discern what it permits and what it regulates. For example:
during a game. Taken literally, this describes every physical game in which any
person can engage, such as baseball, hopscotch, tag, or even swinging on park
swings. The Ordinance goes on to explain that a virtual game typically consists
by the actions of a person who is experiencing it, but the word typically
indicates that this description is not a necessary part of the definition. Running
Apple Watch can cause those devices to emit both images and sounds. Similarly,
sounds. Both of these activities appear to fit the Ordinances definition of virtual
gaming.
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context:
i. location-based could mean content that is fixed to, and only accessible
at, specific geographic coordinates. But it could also mean content that is
dynamically triggered based on the users proximity to objects that are not
1. Many would argue that even the one example of AR given in the
touch, taste, and smell, which are also means by which people
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iv. Game is also undefined. Does it require a defined set of rules? Does it
apply to applications that are purely for gaming purposes and no other, or
which offers users points and badges for doing things like visiting
required before the game falls under the Ordinance? Is Pokemon Go still
c. What does not permitted in Milwaukee County Parks mean? Does it mean that
individuals are not allowed enter the parks carrying devices that have the game
installed? If so, does that mean developers are responsible for the actions of each
such person (as the Permit Application repeatedly says)? Or does it only mean
Rather, developers simply publish the game in app stores for users to
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reality games and not to virtual games, a defined term that is much
more broad. To what extent must the developer of a virtual game that is
e. Who is included within the phrase companies that create and promote such
games? Does it include every business partner that helped Candy Lab AR create
the content in Texas Rope Em? Does it include Apple and Google, who
promote the game for download in their app stores? Does it include every
entity that speaks favorably about the game in social media? Does it apply to
f. What does it mean that Game activity shall only occur during standard park
hours? Does this apply only to players, whose behavior the developer is then
hours for each location, and then proactively disable the software on every
31. The text of the Ordinance requires game publishers to apply for a permit that is
said to be available on the Parks Departments website. It is remarkably difficult, however, for
developers to determine what they are required to do, even if they learn that the Ordinance exists
in the first place (which I do not know how they would unless they hear about it second-hand, as
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htm>, also contains no information about location-based or virtual games. Instead, it offers links
to the following choices: Athletic Field, Dog Exercise Area Permit, Geocaching Permit, Parking
- O'Donnell Park, Photography/Filming, Picnic, Room, Building, & Special Facility Rental,
33. Exploring each of these options reveals that only one of these pagesSpecial
Ex D (emphasis in original). This webpage does not define virtual gaming, however, or give
34. Selecting the underlined portion of the foregoing text hyperlinks readers to the
<http://county.milwaukee.gov/ImageLibrary/Groups/cntyParks/permits/SpecialEventPermitAppl
ication.pdf> (the Permit Application). Ex E. This 10-page document requests a vast amount of
information, such as estimated attendance, location in park, event dates and times, site map,
whether and how the event will be advertised, plans for garbage collection, and provisions for
on-site security and medical services. Ex E at 5-9. Much of this information is either
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example, mobile games like Texas Rope Em do not have dates and times, but rather are
always accessible to a user once downloaded to a mobile device. Nor can a game developer
reliably estimate the number of people who will both download the application and travel to a
specific location (such as Milwaukee County Parks) to play the game. Mobile application
developers certainly do not undertake responsibility, much less plan for, the amount of garbage
35. The Permit Application also reserves the right to require additional information
event itself. Moreover, Milwaukee County Parks may postpone approval of event permit(s) until
information or documentation in a timely manner may be cause for denial of a Special Event
36. The Permit Application also contains a number of onerous warnings and
obligations. Below are examples of the burdens that the Permit Application imposes on game
the County and hold it harmless from all liability aris[ing] out of or are in any
permit holder ... will be responsible for the conduct of the group and for the
condition of the reserved area, (id. at 9); a warning that [a]ny damage caused by
vehicles will be the responsibility of the permit holder, (id. at 8); a provision that
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the premises caused by its event, employees, agents, representatives, and guests.
Within five (5) days of the conclusion of the event, the premises shall be restored
to the satisfaction of the Regional Manager. (Id. at 2.) These provisions impose
on Candy Lab AR vicarious liability for the actions of every single person who
downloads and plays its game in the parks, despite the fact that Candy Lab AR
financially prohibitive.
b. Liability Insurance. The Permit Application requires that ALL special events ...
insured for the date(s) of the event including set-up and teardown date(s).
Milwaukee County Parks must be listed as the Certificate Holder .... The special
event permit will not be issued if a Certificate of Insurance has not been received,
obtaining this insurance for unknown numbers of players, in every park, during all
c. Physical Presence. The Permit Application requires that [a] copy of the Special
Event Permit must be present and on-site for inspection on event date(s), (id. at
4). This requires Candy Lab ARa small start-up located in Irvine, California
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impossible.
d. Restroom and Trash Services. The Permit Application instructs that [o]ne
portable restroom for every 100 people is required for all special events that do
organizer if estimated attendance is above 250 people. (Id. at 7); and that Permit
holder shall be responsible for the collection and removal of all event related
garbage and litter from the site and surrounding areas ... to the satisfaction of
Milwaukee County Parks. Permit holder will be billed for any additional cleanup
($50.00 per employee per hour) and/or damage to park property. The use of
materials. (Id. at 2.) This imposes on Candy Lab AR the responsibility and
Candy Lab AR the Countys entire responsibility for maintaining its own parks.
e. Security and Parking Services. The Permit Application instructs that Milwaukee
County Parks reserves the right to require the presence of Milwaukee County
Sheriffs Office (MCSO) at any event even if a private security company is hired
by event. Fees for MCSO assistance may apply. Permit holder is responsible for
payment of said fees. Permit holder shall contact MCSO and any police
department(s) affected by event at least 30 days prior to their event date. (Id. at
3); and that Milwaukee County Parks reserves the right to conduct a parking
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might have the option to purchase parking from Milwaukee County Parks when
and if available so that their attendees will have free parking. If an event is
approved to purchase parking from the Milwaukee County Parks and they decide
to charge for parking, fees must be pre-approved by the Milwaukee County Parks.
Parking fees cannot exceed $5.00 per car. Permit holder is responsible for
managing, staffing and conducting the parking operation. (Id. at 3.) This imposes
unknown expenses on Candy Lab AR that are totally within the Countys
discretion to quantify, and delays the publication of Candy Labs game for an
application. Your application will not be reviewed if a route and/or site map(s) are
not included. Your route and/or site map must be approved by the Special Events
Office and Regional Manager .... (Id. at 1); and that [i]t is the responsibility of
application in writing. Revisions are subject to the review and approval of the
Special Events Office and the Regional Manager. (Id. at 1.) This means Candy
Lab AR must disclose the location of every game stop before releasing the game,
and go through the entire process over again before each update made to those
locations. This is onerous at best for locations chosen by Candy Lab AR, but
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material gain ... require a remittance to Milwaukee County and additional fees
will apply. (Id. at 7). Texas Rope Em is currently available as a free download,
but may in the future either be sold for purchase, or else (more likely) will offer
additional digital content for in-game purchase. This text appears to suggest that
any in-game purchases (or advertising revenue, for that matter) made within
the Ordinance that companies like Niantic were using such games to make money
in County Parks without any of that money going to the County. How such a tax
h. Multiple, Undefined Fees. The Permit Application instructs that, [i]f your
Special Event Application is approved, you will receive an email with fee
contact information will be listed on this email, and it is the responsibility of the
event organizer to call or email the Regional Manager promptly to discuss details
of the event. Without the Regional Managers approval, a special event permit will
not be issued. All payments are required at least ninety (90) days prior to the
event date. If the special event permit fee is not received by the specified due
date, a late fee will be assessed or the event may be cancelled by the Milwaukee
County Parks Department. (Id. at 1.) For special events (excluding wedding
ceremonies) that have never been held on Milwaukee County Parks property, a
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and $250.00 for events held at any other Milwaukee County Park. (Id. at 2.) Also
charged are Additional Fees: All events are required to pay for any extra
a detailed cost estimate in writing. An invoice for these charges will be sent and
the fees will be due thirty (30) days from the date of invoice. If available, the
following items may constitute an additional cost for your event: hotline fee
containers rental ($5.00 per day), picnic tables rental ($15.00 per day), garbage
baskets rental ($7.00 per day), barricades rental ($8.00 per day) and an excessive
clean-up fee ($150.00 minimum).... There is a $0.50 per participant fee (plus sales
tax) for registered participant groups of 500 to 4,999, and a $0.75 per participant
fee (plus sales tax) for registered participant groups of 5,000 and over. ... All
events that utilize or affect the usage of a designated picnic area, pavilion and/or
athletic field will pay the associated fees and those affected areas will become
part of the Special Event Permit. ... All Special Event Permit fees include sales
tax (5.6%). (Id. 2-3.) Also, [a]ll cancellations must be made in writing ...[,]
must be received at the Special Events Office no later than ninety (90) days prior
administrative fee. (Id. at 2.) These multiple, duplicative, and uncapped fees
i. Forced Content in, and Pre-Approval of, Advertising. The Permit Application
instructs that Milwaukee County Parks in its sole discretion may require
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print or digital, related to your special event. If Milwaukee County Parks Logo is
entrance to the event, on stage if applicable, and in all print and TV promotions
submitted to the Special Events Office thirty (30) days prior to event date. (Id.
include County insignia in all of its advertising for Texas Rope Em, including,
presumably, on its website, in social media posts, in app stores, and everywhere
else the game is discussed or displayed, even though the number of game stops in
Milwaukee County Parks are but a tiny sliver of the stops that will be available
across the globe in the final version of the game. Not only that, but it requires
Candy Lab AR to get Milwaukees permission before running any of these ads.
assignable and not transferable. (id. at 4). This means Candy Lab AR could
never sell its intellectual property to another company without that purchaser
conduct your planned event (id. at 1, emphasis in original). This means that
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reaction to the unexpectedly large number of people who played Pokemon Go in 2016. Having
read the Whereas clauses contained in the Ordinance, as well as the comments made by
County Supervisor Sheldon Wasserman in the course of proposing the Ordinance, only
reinforces that understanding. This, in turn, leads me to believe that the County will take every
opportunity it can to put hurdles in the way of Candy Lab AR and others publishing Texas Rope
Em and other location-based games, including by dragging out the permitting process with
38. The Permit Application gives a similar definition of virtual gaming as the
environment and interact with that environment during a game. The game typically consists of an
artificial world of images and sounds created by a computer that is affected by the actions of
39. Texas Rope Em clearly fits this definition. The augmented reality display of
poker cards that a player sees upon reaching designated coordinates is a three-dimensional
environment, and players interact with that environment during the game. Texas Rope Em
displays an artificial world of images and sounds created by a computer [i.e., by the mobile
application] that is affected by the actions of person who is experiencing it. At the very least,
the user interface of Texas Rope Em fits this definition at least as much as does that of Pokemon
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41. The County website also instructs that a Permit Application in connection with
virtual games is required for game developers only, and Candy Lab AR is the developer of
42. Therefore, Candy Lab AR reads the Ordinance, and the Permit Application issued
pursuant to the Ordinance, as requiring Candy Lab AR to submit the Permit Application and
receive a Special Event Permit before being allowed under the Ordinance to publish a version of
Texas Rope Em that allows players to play the game in Milwaukee County Parks.
43. Because Texas Rope Em has already been released to the public in beta form,
and because that version is playable in a Milwaukee County Park, Candy Lab AR appears to
44. Candy Lab AR is still a modestly sized startup company reliant on a handful of
investors. It simply cannot afford to undertake the process of researching the need to, and
undertaking the effort to apply for, permits from municipal governments before publishing the
very mobile applications that are the source of the companys revenue. Nor can it afford to pay
any permitting fees, much less the exorbitant fees contemplated by Milwaukees Permit
Application, to even one municipality, let alone all the others that will follow Milwaukees
example if the Ordinance is upheld. Instead, if Candy Lab AR were forced to obey the
Ordinance, it would simply choose not to publish a game capable of being played in Milwaukee
County Parkswhich, depending on how the Ordinance is interpreted, could be any game at all.
This, in turn, would deprive Candy Lab AR of the ability to further its business and to engage in
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most of them are small start-ups like Candy Lab AR. If the Ordinance and laws like it are
allowed to stand, I am certain that many companies that would otherwise publish innovative,
government in the United Stateslet alone a county park departmenthad the power to regulate
the content of mobile video games, especially not just because they were afraid that too many
people might play them. The revulsion and despair I feel at the thought of this prospect has
motivated Candy Lab AR to take a stand against this unjust and unlawful Ordinance.
47. I communicated directly with the County to confirm my understanding that the
Ordinance applies to Texas Rope Em. One of the pages on the Parks Department website, called
Contact Special Events, contains an online form through which readers are invited to contact
the department to find answers to many of your questions on the Parks website ... [and to l]earn
http://county.milwaukee.gov/ContactUs13119/Contact-SpecialEvents.htm> ).
48. Specifically, on March 23 I authorized the following message that was sent
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49. On March 24, 2017, I received a response via email from Ryan Broderick, Special
Events Coordinator for the Milwaukee County Department of Parks, Recreation & Culture. He
wrote:
Hello Andrew,
To apply for a virtual gaming permit you must complete the attached Special
Event Application and submit with a map of all of the areas that you would like
to add virtual gaming stops.
Ex G (emphasis in original). The attachment to Mr. Brodericks email was the same Permit
Thank you for responding to my inquiry and clarifying that Candy Lab requires a
Special Events permit before releasing Texas Rope 'Em to the public. We will
review the form and get back to you.
Id.
51. On March 28, Mr. Broderick responded again, saying, Great, thank you so
County expects Candy Lab AR to seek and obtain its permission, under all of the onerous
conditions laid out in the Permit Application, before it will deem Candy Lab AR able to lawfully
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