Is it Pirating if...
 

...A friend copies a no longer available game to my system (specifically tmnt reshelled and tmnt the arcade game for X360)?

You won't be able to play it since the license isn't for your console.

According to the memory screen, it says "you will become the new owner" ...

I believe he can if he does a license transfer, but I personally dont have a problem with it in this situation, 1) Because the title is no longer available. 2) Your friend is not make money from the situation.

I dont know if it is or not, I am not a lawyer, If your friend was charging you for the game or making any profit from it what so ever, then that would be pirating.

No, it wouldn't be. If his friend paid for it and is losing the licence to it in this transfer, then he's basically giving him a game he owns. Is it pirating for you to walk into Gamestop and pay them for a used game?

Either way, I don't know how this stuff works exactly anymore, but if he transfers the licence to your console it should work. I'm not sure how his account being tied to it would work. Worst case scenario is you'd need his account to play it on your 360, which would be dumb. Either way, I don't think he'd be able to play it anymore without being at your house if the licence transfers, or if he's online? I don't know that licence transfers between accounts. You certainly won't end up with a second free copy of the game so you can both play online, if that's you're trying to do.

Pirating is the act of creating a copy, and if there is a transfer of license, then you are doing the digital version of "here, friend, take my game." That is not pirating.

Yeah that would make sense if his friend couldn't play the game anymore on his 360, but he still can!!!!!He made a copy of his game, he didn't sell him a used (Digital) game, he mad a copy of his game and now both can play the game, he did make a copy! He didn't give him his game.

I actually did it before, because I wanted to play a game that again lost Licensing and was no longer available, so my friend did a license transfer and now we play the game together all the time.

Not a big deal to me, bc it is no longer available for purchase and again his friend didn't make any money

Does this count if the game is discontinued?

I did not know you could transfer a digital license from one 360 to another... that's a neat feature if so.

as for reshelled, based on what i've heard about it, i'd rather just play the snes version on an emulator than go through tons of trouble trying to acquire a copy of the remake somehow. but since you're in the position where it's quite easy, worth a try

I've done it before... I just can't get my friends to do netplay with me :tsad: ...

My nephew downloaded all of his on-demand games to my console. He just needs to sign in to his account in order to play them while on my console.