@matrix Yuzu apparently wasn't clean room, and patreon was also a large part of the issue. From what I've heard, the devs were openly talking about playing leaked games early, which breaks the whole "no I was totally playing backups of games I legally purchased and dumped myself" thing all of the emulator devs need to pretend to do.
Plus, it's the US. Even if they were 100% innocent and Nintendo had absolutely 0 case whatsoever, Nintendo is a multibillion dollar company, and Yuzu is a small business. Nintendo can afford to drag out a frivolous lawsuit that has 0 chance of going anywhere for decades to bleed them dry, and Yuzu absolutely can not afford to fight that battle in court. It's why so many lawsuits involving these huge corporations are settled out of court - saying "Okay I admit I was wrong" and going bankrupt because you can't afford to pay a few million dollars is a hell of a lot better than battling it for years, going bankrupt, and then declared guilty because you ran out of money, which leads to you getting a fine 100x as large (which you still can't pay), and setting a precedent that emulators are illegal leading to every other emulator that's ever existed getting taken down.