There are EU laws specifically allowing reverse engineering which (by default) nullify any EULA which attempts to so prohibit such behaviour.
Nonsense.
We've already been here a few threads up, and I'm not going to be going into detail again on it.
The EU laws are there to cover reverse engineering for interop. They are NOT there to permit reverse engineering to enable people to create competing products on the cheap. Not even the Brussels Sprouts are that stupid !
The concept and extent of what is and is not "interoperability" is well known and understood within the IT industry.
In laymans terms, "interoperability" is when you want to make a proprietary product work with another product (proprietary or not). For example in this case, making Flash player work with, for example, Firefox browser, or some random Operating System running on a smart phone.
Infact, I'll quote you the legislation .... (my bold)
Article 6, DIRECTIVE 2009/24/EC on the legal protection of computer programs
1. The authorisation of the right holder shall not be required where reproduction of the code and translation of its form within the meaning of points (a) and (b) of Article 4(1) are indispensable to obtain the information necessary to achieve the interoperability of an independently created computer program with other programs, provided that the following conditions are met:
(a) those acts are performed by the licensee or by another person having a right to use a copy of a program, or on their behalf by a person authorised to do so;
(b) the information necessary to achieve interoperability has not previously been readily available to the persons referred to in point (a); and
(c) those acts are confined to the parts of the original program which are necessary in order to achieve interoperability.
2. The provisions of paragraph 1 shall not permit the information obtained through its application:
(a) to be used for goals other than to achieve the interoperability of the independently created computer program;
(b) to be given to others, except when necessary for the interoperability of the independently created computer program; or
(c) to be used for the development, production or marketing of a computer program substantially similar in its expression, or for any other act which infringes copyright.
And for avoidance of doubt, the EU definition of "interoperability" :
The function of a computer program is to communicate and work together with other components of a computer system and with users and, for this purpose, a logical and, where appropriate, physical interconnection and interaction is required to permit all elements of software and hardware to work with other software and hardware and with users in all the ways in which they are intended to function. The parts of the program which provide for such interconnection and interaction between elements of software and hardware are generally known as ‘interfaces’. This functional interconnection and interaction is generally known as ‘interoperability’; such interoperability can be defined as the ability to exchange information and mutually to use the information which has been exchanged.