From: Secret Underground Lair
I dunno Greybriar. This clause is pretty extreme too:
Steam and your Subscription(s) require the automatic download and installation of software and other content and updates onto your computer ("Software"). You may not use the Software for any purpose other than the permitted access to Steam and your Subscriptions. You understand that for reasons that include, without limitation, system security, stability, and multiplayer interoperability, Steam may need to automatically update, pre-load, create new versions or otherwise enhance the Software and accordingly, the system requirements to use the Software may change over time. You understand that neither this Agreement nor the terms associated with a particular Subscription entitles you to future updates, new versions or other enhancements of the Software associated with a particular Subscription although Valve may choose to provide such updates, etc. in its sole discretion.
So basically, to summarize this clause: you agree to relinquish control of your computer to them.
The other one that is pretty remarkable I thought:
10. EXCLUSIVE REMEDIES
A. EXCLUSIVE REMEDY -- STEAM AND THE SOFTWARE.
YOU ACKNOWLEDGE AND AGREE THAT YOUR SOLE AND EXCLUSIVE REMEDY FOR ANY DISPUTE WITH VALVE WITH REGARD TO STEAM OR THE SOFTWARE IS TO DISCONTINUE USE OF STEAM AND CANCEL YOUR ACCOUNT. BECAUSE SOME STATES OR JURISDICTIONS DO NOT ALLOW THE EXCLUSION OR THE LIMITATION OF LIABILITY FOR CONSEQUENTIAL OR INCIDENTAL DAMAGES, IN SUCH STATES OR JURISDICTIONS, VALVE, ITS LICENSORS, AND THEIR AFFILIATES LIABILITY SHALL BE LIMITED TO THE FULL EXTENT PERMITTED BY LAW.
B. EXCLUSIVE REMEDY--MERCHANDISE.
YOU ACKNOWLEDGE AND AGREE THAT WITH REGARD TO ANY MERCHANDISE YOU PURCHASE VIA STEAM AS YOUR EXCLUSIVE REMEDY, IN ADDITION TO THE REMEDIES EXPRESSLY SET FORTH IN SECTION 3(C), VALVE MAY INCLUDE IN ITS OPTION THE RIGHT TO PAY TO YOU THE AMOUNT OF DIRECT DAMAGES ACTUALLY INCURRED BY YOU IN REASONABLE RELIANCE ON SUCH MERCHANDISE, AS LONG AS THAT AMOUNT DOES NOT EXCEED THE AMOUNT YOU PAID VALVE FOR THE MERCHANDISE GIVING RISE TO THOSE DAMAGES.
THIS SECTION WILL APPLY TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW.
You agree to defend, indemnify and hold harmless Valve, its licensors and their affiliates from all liabilities, claims and expenses, including attorneys' fees, that arise from or in connection with breach of this Agreement, use of Steam or any Subscription or any related content, or any User Generated Information, including, but not limited to, the creation, distribution, promotion and use of any Mods, by you or any person(s) using your Account. Valve reserves the right, at its own expense, to assume the exclusive defense and control of any matter otherwise subject to indemnification by you. In that event, you shall have no further obligation to provide indemnification to Valve in that matter. This Section regarding Indemnification shall survive termination of this Agreement.
So, supposedly, before you can play (lets say) Civ5 or Fallout New Vegas, or a variety of other third party games that have no affiliation with Valve whatsoever, except to set up exclusive authorization/distribution deals with them, you first have to agree to Steams EULA and install the Steam Client App. By doing that, you are agreeing that, if Steam screws up and your game is corrupted and unplayable, it is not their fault and you will pay their attorney's fees and court costs should you seek to take action against them!
Yeah right . . . WHY would I EVER want anything peddled by this firm on my machines?