Gamers sue Nintendo in attempt to recover tariff refunds

(CN) — Customers hit video game giant Nintendo with a federal class action in an effort to recover price increases incurred while President Donald Trump’s tariffs were in place.

“This class action arises from Nintendo’s retention of windfall profits generated by unlawful tariffs imposed by the federal government,” the plaintiffs say in their complaint, filed Tuesday in the Western District of Washington state. “Plaintiffs bring this action on behalf of millions of consumers who purchased goods from Nintendo during the tariff period and who paid inflated prices reflecting Nintendo’s pass-through of unlawful tariffs.”

Last year, Trump declared a national emergency and instituted a 10% minimum tariff on all imports from nearly every foreign country, with around 57 countries being hit with even higher levies. Some of the tariffs were passed on to consumers, in the form of price increases. The Japan-based Nintendo, for example, raised prices on the accessories for its handheld gaming device, the Switch, by $1 to $10, according to the plaintiffs.

The two named plaintiffs — Gregory Hoffert of Northern California and Prashant Sharan of Seattle — say Nintendo, a major importer, is expected to recover significant tariff refunds following the U.S. Supreme Court found the tariffs unconstitutional in rare rebuke of the president in February. They are asking for a court to award them the surcharges they paid to Nintendo.

The pair do not say what they bought from Nintendo, or how much they paid, but say “The potential refund pool resulting from the invalidation of the IEEPA tariffs is enormous.”

The plaintiffs note that Nintendo itself had sued the over the legality of the tariffs, and is pursuing its own refund.

“Public reporting concerning the refund proceedings states that U.S. CBP estimated an ‘unprecedented volume of refunds,’ potentially** ** involving** ** 53,173,939 refunds** ** across** ** 330,566 importers** ** if each entry subject to IEEPA duties is entitled to a refund,” they wrote.

The plaintiffs accuse Nintendo, in part, of unjust enrichment, and also brings a claim under the Washington Consumer Protection Act. They also proposed a class consisting of Nintendo customers from Feb. 1, 2025, through Feb. 24, 2026, the time in which Nintendo raised its prices.

According to a Senate committee, the tariffs, in place for nearly a year, cost the average American family $1,700.

A dozen states and a collection of small businesses, including a wine importer, sued the Trump administration over the tariffs, arguing that he was misusing the International Emergency Economic Powers Act by incorrectly labelling the trade deficit an economic emergency, and that only Congress has the power to set tariffs.

“The president asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope,” Chief Justice John Roberts wrote in the opinion striking down the tariffs. “In light of the breadth, history, and constitutional context of that asserted authority, he must identify clear congressional authorization to exercise it.”

Trump has said he will reinstitute the tariffs using other powers. In the meantime, the Court of International Trade ordered the government to pay back the levies it illegally forced importers to pay. That money, some $166 billion in revenue, will go to more than 3,000 businesses like FedEx and Costco. There’s no indication that customers will get anything — unless the courts intervene.

The lawsuit against Nintendo is only the latest in around two dozen class actions, according to one law firm, against such companies as Costco, FedEx and Lululemon.

Nintendo did not immediately respond to a request for comment about the lawsuit.

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