Nintendo’s legal battle with Palworld looks shakier than ever: It may only get ‘$30,000 chump change’ if it wins at all

Nintendo’s lawsuit against Palworld developer Pocketpair over patent infringement appears increasingly unlikely to be worthwhile for the gaming giant. Filed in Japan in 2024, the suit alleged that Palworld infringed on three patents related to monster-catching gameplay mechanics. While Nintendo and The Pokémon Company initially sought an injunction to block the game’s release entirely, the lawsuit has evolved considerably over nearly two years.

Most significantly, reports indicate that if Nintendo wins the case, the company could receive as little as $30,000 in damages—a fraction of what it originally claimed and negligible for a multi-billion dollar corporation. This represents a dramatic reduction from Nintendo’s initial $66,000 demand and the apparent hope that the legal battle would cost Pocketpair millions in defense fees.

The lawsuit appears to be entering its final stages. All written pleadings and evidence submissions have been completed, with a court presentation scheduled for October 1st and a final opinion expected in November. Pocketpair has already made significant modifications to Palworld in response to the patent claims, potentially undermining Nintendo’s legal position.

Despite the lawsuit, Palworld continues to thrive, remaining one of the most-played games on Steam. The game’s irreverent “Pokémon with guns” concept generated massive commercial success and mainstream attention, though it also drew Nintendo’s ire from the outset.

The declining damages projection raises questions about the cost-benefit of the legal action for Nintendo. With victory potentially yielding only pocket change and Pocketpair having already adjusted the game substantially, the lawsuit appears to have achieved little beyond generating legal expenses on both sides.

Sources