Nintendo is fighting back against a class action lawsuit that argues the company should pass any U.S. tariff refunds on to consumers, with the gaming giant saying that’s not how completed purchases work. The case stems from last year’s price increases on Nintendo Switch hardware and accessories, which Nintendo implemented after widespread U.S. tariffs drove up import costs. With the company seeking tariff refunds from the government, some consumers believe those savings should come back to buyers.
Earlier this year, the U.S. Supreme Court ruled that the tariffs were unconstitutional, opening the door for affected companies to reclaim billions of dollars in tariff payments. Nintendo is understandably seeking to do just that, which in turn led to two Nintendo customers filing a proposed class action lawsuit, suggesting that tariff refunds would be “double-dipping” on Nintendo customers. That accounts for higher prices paid for by consumers, as well as tariff refunds it later received on those charges. The lawsuit specifically targets Nintendo products purchased between February 2025 and February 2026, including Switch 2 accessories that saw price hikes before launch.
Nintendo: Customers “Received Exactly What They Bargained and Paid For”
Nintendo, however, is asking the court to throw the case out entirely. In a new filing (first reported by Game File), the company argued customers “received exactly what they bargained and paid for” when they purchased those Nintendo Switch products, regardless of what happened with tariffs afterward. According to Nintendo, completed sales are not retroactively renegotiated because of later legal decisions, and consumers are not automatically entitled to rebates if a business eventually recovers some of its costs. As the company stated,
“Plaintiffs are not entitled to a rebate simply because of intervening legal developments related to tariffs…The common thread among Plaintiffs’ claims is that it is somehow ‘unfair’ that Nintendo has not retroactively adjusted its prices for completed sales in response to the outcome of the tariff litigation, but that is not how commercial transactions work.”
The dispute comes as Nintendo is also pursuing its own refund claim against the U.S. government. That case was paused after the government established a system allowing companies to apply directly for tariff refunds instead of continuing litigation. Plaintiffs in the consumer lawsuit argue Nintendo should share any money it receives, while the company maintains those refunds, if granted, belong to Nintendo and not customers who already completed their purchases.
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The timing also adds another wrinkle to Nintendo’s pricing concerns. Even beyond the tariff situation, the company has acknowledged that ongoing DRAM memory shortages could continue putting pressure on hardware costs. Nintendo President Shuntaro Furukawa has previously said the company is monitoring the situation closely but did not rule out future price hikes on Nintendo Switch/Switch 2 hardware. Plus, it’s worth highlighting that every major gaming giant (Steam, PlayStation, Xbox) is reportedly struggling due to the RAM crisis, and price hikes have taken place at every major gaming hardware company.
For now, the court will decide whether the lawsuit against The Big N moves forward at all. If Nintendo’s motion to dismiss is granted, the proposed class action will end before it reaches trial. If not, then the lawsuit could at least go to trial.
