Ah corporate Lawyer BS, pointing out what they want to be true and not pointing out the other. ROMs are legal under existing Copywrite laws under archival laws in the USA (117) and backup laws in Canada (29.24). The Americans have a bit more of a restricted way of using their archives, but that’s not needs to be argued here, as it appears that Nintendo is blaming Yuzu for actions of the general consumer. It’ll be like blaming your Network provider for allowing a user to download a movie, both legally and illegally, thus they should be punished for both actions.
I also love that Nintendo isn’t not stating it’s illegal here, just that it’s infringing because it’s not authorized.