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How did these novels even get published without Kishimoto's seal of approval? Wouldn't that mean Kishi can file a lawsuit if this is just fanfiction being sold in the name of his franchise?Nah mate. Things outside of the Manga are only canon with Kishimoto's seal of approval. That's why we take things seriously for most of the Movies, because Kishimoto had personally said that it was apart of the story line (at least with Boruto).
And in a SJ podcast, Kishimoto clarified that the upcoming Boruto Manga was a dignified piece of the story.