America v. Bleem, March 1999

https://en.m.wikipedia.org/wiki/Bleem!

See the "Sony lawsuit" section. It isn't cut and dry case law unfortunately, it is very much a grey area. But Sony lost every one of these lawsuits and the only reason we don't still see Bleem around is because they went broke defending all of them. Sony couldn't beat them in court so they just bled them out of money

Two days after Bleem! started taking preorders for their emulator, Sony filed suit over violations of copyright. Sony had accused Bleem! of engaging in unfair competition by allowing PlayStation BIOSs to be used on a personal computer as this would ultimately damage Sony's sales of the PlayStation. The Judge had rejected the notion, and issued a protective order to "protect David from Goliath".

[...]

In spite of the loss, the release of the Bleemcast! caused Sony to file another lawsuit accusing them of unfair competition and patent infringement regarding the use of PlayStation BIOSs on the Sega Dreamcast. This approach had become problematic for Bleem!, despite no actual court ruling against them. The main issue regarded the financial problems Bleem! had faced as they had to deal with defense costs of $1 million per patent. This had caused Bleem!'s work to decline, so that they had only managed to release three games: Metal Gear Solid, Gran Turismo 2, and Tekken 3, for the Bleemcast!.[6] At this point, Sony had obstructed Bleem! from developing further video games for the Bleemcast! and had even threatened retailers selling these products.