Posted on: August 5, 2024, 02:47h.
Last updated on: August 5, 2024, 02:47h.
Israel-based Papaya Gaming has responded to allegations raised by rival skill gaming developer Skillz in a lawsuit filed in New York’s Southern District Court with counterclaims.
In March, Skillz filed a federal lawsuit against Papaya on claims that the latter company uses computer bots in its supposedly peer-to-peer skill games that are contested between players for real money. Papaya is one of many developers that publishes its skill-based games on the Skillz platform.
Skillz argued in its complaint that Papaya altered its platform to allow for bots, which expedites the player pairing process and puts developers that don’t use bots at an unfair competitive disadvantage. Papaya attorneys rejected most claims made in the Skillz complaint and made counterclaims in the company’s response.
Papaya says nowhere did it advertise or disclose that bots were never used but maintains that its games are fair and that “quick matchmaking is a feature that certain skill-based mobile gaming platforms seek to offer to players.” Papaya says it uses a matchmaking algorithm that expedites the pairing process and that bots are only used during tutorials for new players to learn gameplay.
Papaya Counterclaims
Skillz is on a legal crusade to restore the credibility of the mobile skill game industry. It’s trying to accomplish that mission through the court system.
In February, a federal jury in Northern California ruled in Skillz’s favor in its lawsuit against AviaGames. The jury agreed with Skillz’s claims that Avia willfully breached Skillz’s patented platform to manipulate gameplay in the developer’s favor. Skillz was awarded nearly $42.9 million.
A separate class-action lawsuit regarding Avia allegedly using bots is ongoing. A proposed class-action lawsuit against Papaya for bot use is additionally underway.
Skillz argues Papaya, like Avia, as well as Voodoo Gaming, which Skillz is also suing, uses bots. Papaya counters that it doesn’t and Skillz’s false allegations amount to a smear campaign. Papaya’s response cited Skillz’s creation of a “fabricated website” called 4FairPlay.org that communicates false allegations against Skillz’s competitors.
Skillz has furthered this false narrative in several ways, including launching a fraudulent website from the shadows, presenting wholly fabricated data concerning customer ‘complaints’ about Papaya, and seeking to weaponize state agencies to pursue investigations of Skillz’s competitors,” the counterclaim read.
The response added that Skillz is deceiving customers by falsely claiming that its platform is “absolutely free of computerized opponents” and that Papaya “previously admitted to bot use.”
Jury Trial Likely
As was the case in the Skillz v. Avia lawsuit, the case against Papaya is expected to go to a jury trial, which both sides have requested. A Papaya spokesperson told Casino.org that the company will vigorously defend its operations and plans to expose Skillz’s smear campaign.
The counterclaims allege that Skillz has engaged in a pattern of tortious and deceptive conduct. The counterclaims describe how — with its business performing poorly — Skillz embarked on a deceitful campaign against Papaya by falsely claiming that Skillz is a virtuous crusader for fairness while accusing others of the same type of deceitful conduct they are engaging in themselves. That behavior is the height of hypocrisy,” the statement read.
The counterclaims additionally contend that Skillz knowingly infringed on Papaya’s intellectual property in developing its own games, promised customers easy access to deposited funds while customers complained of delayed withdrawals, and routinely touted its games as “bot-free” while seemingly turning a blind eye to bot use on its platform.
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