Nintendo is legally right, but that doesn’t mean they are morally right.
They’re always very tone deaf when it comes to communicating with their fans. They could have used this opportunity to gift people 50% off coupons on their digital store or some shit like that which would cost them nothing while gaining them community fervor.
But time and time again, they’ve shown they’re the ones who dictate how they operate and consumers can either consume it or go away. Very conservative and a bit archaic if you ask me.