Nintendo wins $2 Million settlement against Switch modchip seller who previously denied wrongdoing
Ryan Daly is also permanently banned from handling modded hardware again
A Switch modchip seller who was sued by Nintendo last year but denied any wrongdoing has settled with the company and agreed to pay $2 million.
Nintendo filed a complaint in July 2024 against Michigan-based Ryan Daly, who operated a store called Modded Hardware.
The lawsuit claimed that Nintendo had contacted Daly in March 2024 and threatened to sue him unless he stopped selling modded Switch consoles and MIG Switches (which enable pirated Switch games to be played on unmodded hardware).
According to Nintendo’s complaint, Daly had originally agreed to stop selling the unauthorised devices, but continued to do so, claiming that he was looking for a new lawyer. Nintendo therefore filed a complained at a federal court in Seattle, accusing Daly of six charges including “trafficking in circumvention devices” and copyright infringement.
Daly then filed a response to Nintendo’s complaint, denying any wrongdoing and listing 17 ‘affirmative defences’ – defences in which the defendant introduces evidence which could excuse them from liability – including fair use, invalid copyrights, unjust enrichment and fraudulent inducement.
Now, however, rather than taking the case to court, Nintendo and Daly have filed a joint stipulation which agrees that Daly will pay Nintendo $2 million.
A permanent injunction will also be ordered, which will prevent Daly from ever handling, selling or promoting any modding devices or modded consoles, or providing any documentation or information which might help other people carry out their own mods.
Nintendo’s original lawsuit claimed that Daly not only sold modded Switch consoles and MIG Switches to customers, but also offered a mail-in service which enabled players to send in their Switch consoles and have them returned modded, often with pirated games installed.
“Defendant not only offers the hardware and firmware to create and play pirated games, but he also provides his customers with copies of pirated Nintendo games,” the platform holder’s original complaint said.
“Typically, when a customer purchases a hacked console or the circumvention services, Defendant preinstalls on the console a portfolio of ready-to-play pirated games, including some of Nintendo’s most popular titles such as its Super Mario, The Legend of Zelda, and Metroid games.”
