Palworld lawsuit nears end with Nintendo reportedly poised to gain almost nothing

June 13, 2026 - 17:25

The legal battle between Nintendo, The Pokemon Company, and the developers of Palworld appears to be winding down, but the outcome may not be the financial victory many expected. According to recent reports, if Nintendo and TPC win their case against Pocketpair, the studio behind the controversial creature-collecting survival game, they could walk away with as little as $30,000 in damages.

The lawsuit, filed earlier this year, accused Palworld of infringing on multiple Pokemon-related patents. Nintendo and TPC sought an injunction to stop sales of the game, which became a massive hit for its blend of Pokemon-like creatures with survival mechanics and firearms. However, the potential payout seems surprisingly low given the game's commercial success, which has generated hundreds of millions in revenue.

Legal experts suggest that the small potential award reflects the limited scope of the patent claims Nintendo is pursuing. Rather than seeking a share of Palworld's profits, the plaintiffs appear to be focusing on specific technical patents related to creature capture mechanics. If successful, the court may only award statutory damages or a minimal licensing fee.

Pocketpair has maintained that Palworld is a parody and does not infringe on any valid intellectual property. The company has also countersued, arguing that Nintendo's patents are overly broad and should be invalidated. The case is expected to reach a final ruling in the coming months, but the financial stakes for either side now appear much lower than the legal drama suggested.