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Nintendo Faces Class-Action Suit Demanding Tariff Refunds Be Passed to Customers

ZS

Zero Signal Staff

Published April 23, 2026 at 1:30 AM ET · 1 day ago

Nintendo Faces Class-Action Suit Demanding Tariff Refunds Be Passed to Customers

Ars Technica

Two Nintendo customers filed a class-action lawsuit against Nintendo of America on April 22, 2026, arguing that the gaming giant should return government tariff refunds to the consumers who absorbed higher prices during the tariff period.

Two Nintendo customers filed a class-action lawsuit against Nintendo of America on April 22, 2026, arguing that the gaming giant should return government tariff refunds to the consumers who absorbed higher prices during the tariff period. The suit, filed in US District Court for the Western District of Washington by California resident Gregory Hoffert and Washington resident Prashant Sharan, alleges unjust enrichment after the US Supreme Court struck down the tariffs that Nintendo used to justify its price increases. The proposed class covers all US residents who purchased Nintendo products between February 2025 and February 2026.

The Details

The lawsuit, filed by the law firm Emery | Reddy, PC, centers on a specific timeline: Nintendo raised prices on its products citing tariff costs, then continued to pursue government refunds for those same tariff payments after the tariffs were ruled unlawful, according to Ars Technica.

Nintendo began raising prices in April 2025, hiking Switch 2 accessories as the Trump administration's International Emergency Economic Powers Act tariffs took effect. The Pro Controller price rose from $79.99 to $84.99, and the Dock Set increased from $109.99 to $119.99, Ars Technica reported. Nintendo delayed Switch 2 preorders at that time, citing tariff uncertainty.

In May 2025, Nintendo President Shuntaro Furukawa told investors the company had adopted a deliberate approach to the added costs. "If tariffs are imposed, we recognize them as a part of the cost and incorporate them into the price," Furukawa said at a financial briefing, according to Ars Technica. By August 2025, Nintendo had raised prices on original Switch consoles and accessories by an additional $30 to $50 depending on the model.

The legal landscape shifted in February 2026. On February 20, the US Supreme Court ruled that President Trump's IEEPA tariffs were unlawful, according to KING 5 News. That ruling opened a path for importers to seek refunds on the duties they had paid. Nintendo moved quickly: in March 2026, the company filed a lawsuit against the Trump administration in US Court of International Trade seeking full recovery of its tariff payments.

The federal government responded by opening an online refund portal on April 21, 2026 — one day before the customer class-action was filed. The government announced a 60-to-90-day processing timeline, according to Ars Technica. As of March 4, 2026, more than 330,000 importers had paid a combined $166 billion in IEEPA duties.

The class-action complaint frames Nintendo's position as a double recovery. According to court filings cited by Ars Technica: "Unless restrained by this Court, Nintendo stands to recover the same tariff payments twice — once from consumers through higher prices and again from the federal government through tariff refunds, including interest paid by the government on those funds."

The complaint further states: "Nintendo has made no legally binding commitment to return tariff-related overcharges to the consumers who actually paid them. This lawsuit seeks to prevent that unjust result."

Context

The lawsuit arrives as similar legal challenges have been filed against other major importers. Costco, for example, has publicly stated it plans to apply tariff refunds toward lowering future prices, according to Ars Technica — a disclosure that stands in contrast to Nintendo's silence on the matter.

Nintendo's legal claim for government refunds is proceeding on its own track. The company filed in US Court of International Trade in March 2026, seeking full recovery of its tariff payments. That process runs parallel to the government's new refund portal, which launched on April 21. Nintendo is among the 330,000-plus importers who paid into the $166 billion IEEPA duty pool.

The charges in the class-action include unjust enrichment, violation of the Washington Consumer Protection Act, and money had and received. The complaint alleges that Nintendo raised prices citing tariff costs, failed to disclose whether it intended to return any government refunds to customers, and then retained those refunds despite having passed the tariff costs to consumers. According to Ars Technica, the complaint states: "Under principles of equity and good conscience, Defendant should not be permitted to retain the amount of the price increases obtained from Plaintiffs and the members of the Class, which Defendant has unjustly obtained as a result of its price increases on goods subject to unlawful tariffs."

The broader tariff environment shifted again in February 2026, when President Trump imposed a new 10 percent tariff under the Trade Act of 1974, following the Supreme Court's invalidation of the IEEPA duties. That move created a new layer of pricing uncertainty for importers and consumers alike, according to Ars Technica.

What's Next

The class-action lawsuit is pending in US District Court for the Western District of Washington. Nintendo of America is headquartered within that district, establishing venue for the case. The court must still certify the proposed class before the lawsuit can proceed as a full class action on behalf of all US residents who purchased Nintendo products from February 2025 to February 2026.

Nintendo's separate lawsuit against the Trump administration in US Court of International Trade remains active. The government's new tariff refund portal, which opened April 21, 2026, is processing importer claims on a 60-to-90-day timeline. How Nintendo applies any government refunds it receives — and whether it discloses those plans to customers — may become a central question in the class-action proceedings.

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