An anonymous reader writes "Good news out of the UK! Techdirt reports that an appeals court has overturned a lower court ruling and has now said that mod chips do not violate copyright laws. The case involved a mod chip seller, who imported mod chips for the XBox from Hong Kong and would sell the chips or mod the Xbox's himself. He was charged with copyright infringement and found guilty by a lower court. The appeals court has dismissed all charges, however."