By Rashan E. Isaac, Ph.D. Candidate- University of New Mexico (Sport Administration)
Introduction
The gaming community is familiar with disputes related to intellectual property, with the Pokémon franchise being heavily involved with multiple legal cases related to copyright infringement. A recent case is seen with the title Palword [1], produced by the Tokyo-based indie gaming company Pocketpair Japanese-produced game that features many similarities to the Pokémon titles. As tension between game development companies and copyright holders continues to rise, the impact on the overall esports landscape cannot be overlooked. This article sheds light on key legal issues overlapping with Pokémon litigation; with a focus extended into copyright infringement and the impact on the esport ecosystem.
The Rise of Pokémon in Esports
Pokémon has origins that began as a globally enjoyed childhood game but has since evolved into one of the more prominent esports titles accompanied by competitive (and casual) tournaments and fan-driven events. The success of fan-driven events has led to legal conflict with the Pokémon company, an example seen in the legal issues stemming over the use of intellectual property (IP) rights in Pokémon Company International v. Jones et al [2]. This case, in which a coffee shop owner used two popular Pokémon on a poster to showcase an event highlights the challenges faced at the intersection of gaming and IP rights. As a number of cases continue to point to how legal disputes related to Pokémon have become more pronounced, the challenges faced by both developers and players will increase based on the use of copyrighted elements from games and fan-generated content.
The ‘Palworld’ Case and Copyright Concerns
Palworld—the gaming title which leaned heavily on patents relating to the artistic style, characters, and in-game mechanics of the Pokémon franchise [3] —serves as a prominent example of the copyright concerns which plague the esport industry. Despite not being recognized as an official Pokémon title, Palworld faces multiple accusations of reproducing core elements originally created for the Pokémon universe. The center of this legal battle is driven by a single question: “Does Palworld constitute copyright infringement by imitating the look and feel of the Pokémon franchise?”. At a larger scope, a case of this type amplifies the challenging balance of artistic inspiration and IP rights for the gaming community.
Copyright Infringement and Esports
Continuing to take a macro-view of this case, it would be critical to overlook the impact fan-made content and third-party tournaments have on the evolution of a gaming title after its initial release. This is where concerns over copyright issues continue to be pressing. The success of a gaming title hinges on factors well after its release, with both game developers and fan-driven efforts required to navigate complex IP rights when incorporating copyrighted content into events and/or products. While some developers, such as those who created Palworld, argue that free expression should protect a title created for the enjoyment of fans [4], others, such as Nintendo developers, have a history of being fiercely protective of their IP and initiating multiple legal actions to prevent unauthorized use [5], [6].
Lessons for Esports Professionals and Developers
From the Palworld case and other Pokémon-related IP disputes multiple takeaways can be used to inform the practices of esports professionals and developers, which include:
- Understanding Legal Frameworks: As IP law is well established as a core legal issue in esport, it is crucial for all stakeholders (e.g. game developers, tournament organizers, and content creators) to have a firm understanding.
- Well-defined Licensing Agreements: To mitigate IP issues, developers must ensure appropriate licensing and/or permissions are understood relating to copyrighted elements; especially in fan-organized esport events.
- Potential for Legal Action: An understanding of the possible monetary (from lengthy legal battles) and reputation damage resulting from the unauthorized use of intellectual property must be understood.
The rapid, continued expansion of the esports industry highlights the importance of understanding copyright law. Using the Palworld case as an example sheds light on the complex legal issues popular titles such as Pokémon have faced in esports; additionally emphasizing the necessity of transparent guidelines for the esport community. Learning from such legal challenges provides esport professionals (and all stakeholders in the esport industry) with a roadmap for navigating the delicate balance between individual creativity and IP protection.
References
- Is Palworld, the latest gaming sensation, guilty of copyright infringement against Pokémon? A legal expert weighs in. Northeastern Global News. (2024, May 13).
- Pokémon Company International Inc v Jones et al, no. 2:2015CV01372-(W.D. Wash. 2016). Justia Law.
- Yin-Poole, W. Palworld Dev reveals patents at the heart of Nintendo and the Pokémon Company lawsuit – and how much money it’s being sued for. IGN.
- Regarding the lawsuit. Pocketpair News.
- Pokémon Company Intenational, inc. v. Sahagian, no. 2:2015CV00866 – document 16 (W.D. Wash. 2015). Justia Law.
- The Pokémon Company International Inc V. Crystal Carvings LLC et al, no. 2:2016CV00122 – document 20 (W.D. Wash. 2016). Justia Law.
