So I was sitting around and talking with a friend and we got talking about how legal game modding was. We looked it up and we came to some weird conclusions on the legality of the situation. From what we can tell modding a game is a grey zone.
It turns out that if you crack the game to allow someone to play for free, it's illegal.
If you are selling the mod for a profit without licensing from the original game developer, it's illegal.
If you mod a console (XBox, Playstation, Nintendo, etc.), it's illegal as of yet since you are circumventing copyrights and T&C on the hardware and firmware to do so in all current consoles. This could change if a modding friendly console was released.
If you mod a game without some form of permission from the developer, it's illegal.
Looking really illegal, eh? Well turns out that it is only illegal under these conditions. If the game developer gives an open license to mod away it is perfectly legal so long as you stay with in their terms. Which makes sense because the Steam store is filled with mod dedicated sections and many companies encourage modding.
So what are your guys opinions? Is modding legal? Illegal? Or just a confusing grey area which really needs some proper laws put in place for it?