Panic Refunds Nearly $100K to Playdate Buyers Over Illegal Tariffs

Panic Inc., the Portland-based technology company behind the Playdate handheld gaming console, has begun issuing refunds to customers for a tariff surcharge it had previously added to purchases, following a U.S. Supreme Court ruling that declared the underlying tariffs illegal. The company confirmed it has returned nearly $100,000 to affected buyers, a move that contrasts sharply with the actions of many larger corporations.

The refunds stem from a 19 percent tariff fee Panic applied as a separate line item on Playdate orders during a period when the Trump administration's tariffs were in effect. The company initially tried to absorb the cost but later passed it along to customers. After the Supreme Court's February 2026 decision in Learning Resources, Inc. v. Trump held that the International Emergency Economic Powers Act did not authorize the executive branch to impose such tariffs, Panic stopped charging the fee on new orders as of April 21, 2026. The company then navigated a federal refund process, eventually receiving its own payout from the government before building a system to return the money directly to customers' credit cards in August.