I think you will find there is more to it than that. There is some ruling that stops manufactures from releasing DVD players that are multiregion direct to to retail (the MR is normaly applied by the retailer). Why else would there be an aftermarket for mutiregion coding hacks if it was totaly legal for a manufacturer to release a multiregion machine. Region enforcment is part off the dvd spec which manufactures must adhere to to gain there license, Afterall they pay a royalty to carry the DVD logo
From what i have learnt from Denon it is up to there discreation if they touch a machine that has had a region hack done (even though they provide the hack out the back door via there reps, but denon are not permitted to release the machines prehacked) . They are in there right to refuse to touch the machine if the hack was applied.
Region encoding could be handled with much more force if the need arose. Instead were are going to more than likly pay with the next generation
because If you think that is bad wait until we go hi-def DVD. thanks to new copyright measures of blueray, our blueray player will need to be connected to the phone line and if it detects that a multiregion hack or any other mod has been done a nice bit off code will be sent to render the machine useless. THX sony.....
I think its a bit like police jammers, legal to own- illegal to use.