That’s an interesting argument. The squatter has to meet several elements to qualify. Law school was a long time ago, but I think those elements include:
- adversity–the occupation/use of the property must not be by permission of the owner
- Open and Notorious–ya got to act like you own the place.
- Must be continuously used/occupied for entire statutory period–which I think is usually 10-20 years or so.
- Claim of Right–the squatter must claim the land as his own (I don’t remember if he has to have some arguable basis for that claim or not).
During the statutory period, the squatter is trespassing, and fully liable for all legal remedies, should the owner act to enforce his ownership rights.
If we try to apply something like this to abandoned games, someone is still going to have to risk openly and obviously taking over the intellectual property, and as you point out, if they make serious money doing it, potential litigants will be lining up to sue for a piece of the pie.