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The litigious hostility between Nintendo of America Inc and Atari Games Inc grows as Nintendo revokes its licence agreement with Tengen Inc, a wholly owned subsidiary of Atari Games, under which Tengen has developed and marketed home video games for play on the Nintendo Entertainment System: Nintendo has also filed a counter suit in US District Court in San Francisco against Tengen and Atari Games, claiming breach of contract, violation of federal and state trademark laws and unfair competition; Atari Games is unrelated to Atari Corp.

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