the lawsuit that has been going on for years college-oriented social app Fizz and competitor Side chat took an interesting spin on unfair competition practices. In new documentationFizz accuses investor Jerry Lu, who works with venture capital firm Maveron, of meeting with Fizz under the guise of researching a potential investment, but then turning around and sharing Fizz’s non-public information with rival Sidechat.
The new allegations raise questions about the role venture capitalists play in competitive startup markets, as founders routinely share confidential business information while raising money, which investors trust not to pass on to competitors. Some VCs continue to ask for updates from the startups they pass on, founders said.
Both of them Fizz and Side chat are in the same business: anonymous online forums and apps where college students can network and gossip. As a result, competition for students’ attention is fierce. However, not all universities see programs as providing value to their students. UNC system banned programs From their campus in North Carolina, citing the bullying and bad behavior that occurs on these anonymous social platforms. For example, in Fizz, students can simply post an individual’s name and invite their peers to say what they want about that person.
Fizz originally sued Sidechat in 2023alleges a range of abuses, including attempts to block its launch on various college campuses, spreading false rumors about hackers accessing Fizz’s data, sending false spam reports to Instagram, and paying students to delete Fizz’s app.
Lu was not named in the original complaint because his involvement was unknown at the time.
Fizz said in its complaint that it only learned of Lu’s involvement through the legal discovery process, which revealed his role in obtaining and transferring Fizz’s confidential information to Flower Ave Inc., the owner of Sidechat, which also acquired the Yik Yak app in 2023.
Fizz’s filing also alleges that Lu continues to act as a conduit to Sidechat, relaying information about Fizz’s fundraising efforts and other matters.
Screenshot of the attached text giving According to the complaint, Lu shared notes with Flower after meeting Fizz in March 2022. At that meeting, Fizz founders Teddy Solomon and Ashton Cofer shared non-public information about Fizz’s “business strategy, growth plans, campus launch book, user metrics, ambassador program, fundraising efforts and product roadmap,” the complaint states.
Lu went on to invest in Sidechat’s second seed round in October 2023 PitchBook data. However, Fizz claims that Lu was in discussions with Sidechat in 2022.
In addition, Fizz alleges that Jack Burlinson, an acquaintance of both the founders and Lu, shared confidential information with Lu, including Fizz’s investor deck and its fall investor summary, which he then passed directly to Sidechat.
Requests for comment to Lu and Maveron were not returned. Fizz declined to comment.
Kyle VennThe CEO of social media platforms Yik Yak and Sidechat shared the following comment with TechCrunch via email:
“These are allegations, not lawsuits. We deny any wrongdoing and will address this through the legal process. The alleged incidents occurred before the current Sidechat team acquired the business in 2025 and inherited the lawsuit. No one was involved in today’s operations team. We are currently focused on building a great product, not suing other apps.”
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