I don't want to say much because I don't want to spoil the article, however I can say this much.
Their business model appears to be legal (there is no precedent setting case yet) and they were contacted by Nintendo as well as I the ESA, with cease and desist letters, however they replied to both explaining how they did business and why they believed they are not infringing anyones copyrights, and they haven't heard back from either party since.