Legal Dispute Between Papaya Gaming and Skillz Intensifies
A bitter legal fight has erupted between gaming companies Skillz and Papaya. The dispute centres on accusations of deception, defamation, and the use of bots in skill-based games. Both firms have filed lawsuits, with claims and counterclaims now playing out in court.
The conflict began when Skillz sued Papaya in New York’s Southern District Court. The company alleged that Papaya misled customers by advertising player-versus-player games while actually pitting users against bots. Skillz CEO Andrew Paradise reinforced these claims during an earnings call, stating that competitors—including Papaya—used automated players to manipulate results. According to Paradise, this practice has cost American players billions in unfair losses.
Papaya fired back by denying the bot allegations. The company then accused Skillz of launching a defamatory campaign through a website called 4FiarPlay.org. Papaya claimed the site spread false information about rivals in the industry. In a separate move, Papaya also filed a lawsuit in Virginia, alleging Skillz hired consultants to fabricate customer testimonials on the same website. The legal battle comes as Skillz pushes to protect its position in the skill-based gaming market it helped create. However, the lack of clear regulations in this sector complicates the dispute. Such cases often end in private settlements rather than court rulings, leaving the outcome uncertain for now.
The lawsuits between Skillz and Papaya remain unresolved. Both companies continue to trade accusations over unfair practices and misleading claims. With no regulatory framework in place, the final result could hinge on out-of-court negotiations rather than a judicial decision.
