Nintendo is facing a lawsuit over the malfunctioning Joy-Con controller of the original Nintendo Switch, and now the suit includes the freshly released Nintendo Switch Lite. Reports said the same controller issue plagues the handheld though not as a widespread problem as that in the console version.

The defect or controller drift is said to be the Joy-Con analog stick reading movements without a prompt from a player, which users said interrupts the gameplay and leads to loss of control in an ongoing game. The problem can be resolved by repair or hardware replacement.

Meanwhile, the Japanese company seems unmindful of its current legal woes as published documents have indicated work is now underway to build the next-generation Nintendo Switch Lite. The papers have been filed with the Federal Communications Commission (FCC), Digital Trends reported.

The filing so far revealed that version number two of the Switch Lite, which bears the model number BKEHDH002, will carry over most of the internal features, and possibly the basic external design, of the first build. Also, it was unclear if the Joy-Con drifting will finally disappear with the unboxing of the Switch Lite 2.

It's important to note, however, that some adjustments are unlikely to be contained in the filed documents.

"FCC documents don't give us the whole story on a new model - especially if it's not an internal change. If the company made a change to the external material or reinforces the Joy-Con on the Switch Lite, it likely wouldn't appear in the FCC filings, which largely deals with the wireless aspects and radiation output of the console," the same report stated.

Going back to the lawsuit, it was filed chiefly to seek compensation from Nintendo because the company failed to stop selling the Joy-Con controllers despite knowing that the console accessories are defective. It is understood that the problem is more prevalent in the console version and has only been reported in some cases for the handheld.

"This defect affects the video gameplay on the device and thus compromises the Switch and Joy-Con controller's core functionality," Fortune reported the class lawsuit as saying.

In making the determination for compensation, it was noted that the problem would be more bothersome for users of the Nintendo Switch Lite. That's because unlike in the console model, in which the Joy-Con can be detached, the controller on the Switch Lite is built-in with the device.

In order for Switch Lite users to get repair services, they will need to turn in the whole unit, indicating that handheld owners prefer replacement or refund instead of a simple hardware fix.

On Nintendo's part, the company had a change of heart following its initial decision to offer repair services but with corresponding fees. In a new announcement, Nintendo said free repairs would be provided to all affected units while refunds will be given to owners whose devices have been fixed and were made to pay.