The San Diego law firm Milberg Weiss Bershad Hynes & Lerach LLP, one of America's fiercest practitioners of class-action lawsuits, was breaking some serious ground when it filed charges against Nintendo of America and two other companies for offering illegal gambling to children. That is, until it learned it was suing its own client.
The genesis of the lawsuit is Pokémon, a trading-card game that plays much like the vastly popular Magic: The Gathering. Each pack of Pokémon cards contains several unique Pokémon characters, and each character has unique powers. Players purchase the cards and play a game in which Pokémon characters do battle with one another. When your Pokémon character wins the battle, you get to capture the defeated character and add it to your collection.
The game, which originated in Japan, has taken the U.S. by storm for the past year. Nintendo made it an even bigger hit when it began selling Pokémon video games. The company also owns the TV and film rights for the product.
In its lawsuit, Milberg Weiss Bershad Hynes & Lerach contended that the game constitutes gambling because some of the Pokémon characters are clearly considered more valuable than others and, thus, qualify as prizes. The firm demanded that Nintendo return all of the profits received from the game. The two other companies named in the suit, Wizards of the Coast and along with 4Kids Entertainment, help distribute and promote the product.
The firm was preparing to annihilate Pokémon, however, its momentum was slowed considerably when lead plaintiff Milberg Weiss had to withdraw from the case upon realizing that New York-based 4Kids Entertainment was one of its clients. Three other firms--one in New Jersey, one in Los Angeles and one in San Diego--will pursue the suit.
The Pokémon lawsuit is one of many class action suits currently in California courts regarding the distribution of merchandise considered valuable for trading purposes. Other defendants in similar suits include Upper Deck, Topps, Major League Baseball, the National Football League, various players associations and Walt Disney Co.
Incidentally, Milberg Weiss will not be representing 4Kids Entertainment's in the Pokémon suit.