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The Pokemon Company releases a statement regarding Palworld: Inquiries Regarding Other Companies’ Games
(corporate.pokemon.co.jp)
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this post was submitted on 25 Jan 2024
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Comparing both games I think a few creatures like Cremis are on shaky ground, but even that might turn out to be fine.
What definitely won't go anywhere is people making mad collages to explain how a pal combines features of such plus such pokémon. They don't seem to realize that Pokémon doesn't own every possible combination of features from those creatures,
If the average person can't tell the difference between a Pal and Pokemon enough of a case could be made to require changes to the assets.
Average person - my mom - can not even tell the difference between the official 500+ Pokémon.