A few on-topic points.
First, this news is ONE MONTH OLD. It was posted when it first was announced. (I posted in the thread but I am at a conference hotel with really slow Internet, so I can't find the link).
Related, the original announcement came out the day Hillcrest announced its product line.
Second, this news comes from the UK -- a place where a lot of Wiis have been sold and a lot of the video game press seem to enjoy actively throwing insults at the Wii.
Third, there is a big difference between investigation, indictment, and conviction. In other words, just looking it to it is no big deal.
Fourth, as has been pointed out, Nintendo licensed this technology. So someone else is also involved -- just yet unnamed.
Fifth, Nintendo could probably buy this company out if all else fails.
The reason Nintendo defends these suits -- and tends to do fairly well -- is to protect itself. I am not sure how some posters feel a small company will have access to more legal resources than one of the largest corporations in Japan -- unless it is a dummy company or being funded by larger competitor ... and that might change the complexion of a lot of things.
Mike from Morgantown