There is clearly much 'gray area' in life and all is open to interpretation. Nonetheless, the quandry over whether to turn in/report your friend seems like an oxymoron to me. If your friend is not making you complicit in his actions or exposing you to any potential ramifications.... where are you even coming from? If even you don't know the legality of it how can you consider reporting it just to see if the authorities oppose it? Very odd, indeed. Maybe if your friend was planning an armed robbery where lives were at stake and clear laws broken..... but a potentially illegal (which is a stretch for a vendor agreement such as ff programs)and in at least your opinion unethical plan? Sounds a little funky to me.