making game for xbox360- legal issues?

I plan to make a game for xbox 360, not an xbox live game.
The game is like red dead redemption, being a TPS sandbox on a disc but without multiplayer options. The game is in the form of a downloadable file, meaning; go to game website > download file > write file to disc > put into console > nerd out.
I’d make no set profit on the game. If anyone likes it, they can donate to a paypal account.

What legal issues might I have to deal with? Do I need any special licenses or permits, and if so how much is this going to cost me in solid figures?

Step one, get yourself authorised by Microsoft. You’ll need to be approved by them, and purchase development hardware and software from them. Once you have this, step two, talk to the Unity sales team to get a license to use Unity on the console. Then make your game. You should budget in excess of $100k to get the hardware and software.

Also, you need to talk to Microsoft about whether your customers can download the game from a website. My guess is that your Microsoft account manager might not like this, but that’s really something the Unity community cannot advise you on.