Duplex stainless steels (DSSs) have excellent mechanical properties, owing to their austenitic–ferritic microstructure. The phase equilibrium strongly depends on solidification conditions and chemical composition, where elemental nitrogen significantly stabilizes the austenitic phase. When DSSs are processed by laser powder bed fusion (L-PBF) under an argon atmosphere, the rapid cooling rates result in an undesirable fully ferritic microstructure. To better understand the microstructure formation, this study examined the influence of the L-PBF process atmosphere on the porosity, microstructure, and mechanical properties of DSS AISI 318LN. Gaseous argon and nitrogen were used as a protective atmosphere, and specimens were analyzed in the as-built and post-processed conditions via optical and electron microscopy, electron backscatter diffraction, and tensile testing. Specimens processed under a nitrogen atmosphere showed a lower initial density in the as-built conditions, and tended to form more lack-of-fusion and gas pores compared to specimens processed under argon. The different defect types in nitrogen-processed specimens were still present after solution-annealing and quenching, leading to a 13% lower tensile strength and 43% lower elongation at fracture. Differences in phase equilibrium caused by the process atmosphere could not be established. All differences in porosity can be minimized by hot isostatic pressing, thus resulting in comparable mechanical properties of argon- and nitrogen-processed specimens.