He didn't get lucky, Louis. He knew from the beginning that he was going to win the court case. That's why he was so confident about the whole thing while we were all scratching our heads, wondering what he was thinking.
He never won the court case. They both ran out of money and had to settle, with terms that happened to be more favorable to Ken. Let's also not forget that Archie claimed they misplaced the contract; if it were not for that massive stroke of luck, Penders would have been dead in the water.
If it's true (as he was claiming) that he never signed a contract in the first place and Archie never would have found his contract among the documents that went missing, that would mean he had been stringing them along the whole time (since "we own the stuff you make for us" is industry-standard practice, and there was no way he didn't know this) in the hopes that a dispute like this would come up so he could win the court case. You know what I call a person like that? A fucking asshole.
As for the royalties, what are you saying precisely? That he should have said, "Well, I'm being cheated out of the money I'm owed but never mind! It isn't like I need to eat or anything crazy like that! And I'm sure that the bills will pay themselves!"
That was a hypothetical scenario. He never was cheated out of royalties that we know of. What Prime was saying was, if he signed a contract for the DVD set that said he gets paid a lump sum of three or four figures and no royalties, that's on him for signing the contract. You don't get to say "Oops, I actually wanted royalties instead!" after the ink dries. If you didn't hire a lawyer (or agent or whoever is the best person for the job in that particular industry) to look over the contract and ensure the terms were fair, that's on you.
Also, the "it isn't like I need to eat or anything like that" argument rings hollow considering he killed his career trying to pursue this. I saw that coming from day one and tried to warn him. Now his career is long dead and buried and he's still too delusional to realize this. If you want to put food on the table, a good first step would be not killing the goose that lays the golden egg.
Face it, Mysterious Traveller. Penders and his actions are completely indefensible.