Filing: College app Fizz accuses VC of sharing confidential startup information with rival Sidechat

A years-long lawsuit between college-focused social app Fizz and rival Sidechat over unfair competitive practices has taken an interesting turn. In the new filing, Fizz accuses investor Jerry Lu, whose main business is Maveron, of meeting with Fizz under the guise of evaluating a potential investment, but then turning around and sharing Fizz’s non-public information with its competitor, Sidechat.

The new allegations raise questions about the role of venture capitalists in competitive markets, as founders often share confidential business information while raising funds, hoping investors won’t pass it on to competitors. Some VCs continue to ask for reviews from the startups they pitched to, founders say.

Both Fizz and Sidechat are in the same business: anonymous online forums and apps where college students can connect and gossip. As a result, competition for students’ attention is fierce. However, not all universities see applications as providing value to their students. The UNC system has banned the apps from its campuses across North Carolina, citing bullying and misconduct that occurs on these anonymous social media platforms. In Fizz, for example, students can simply post a person’s name, inviting their peers to say whatever they want about that person.

Fizz initially sued Sidechat in 2023, alleging a number of abuses, including attempts to disrupt its launch on various college campuses, spreading false rumors about hackers accessing Fizz data, posting false spam messages on Instagram, and paying students to delete the Fizz app.

The original complaint did not name Lu, as his involvement was unknown at the time.

Fizz says in his complaint that he only learned of Lu’s involvement through the legal discovery process, which revealed his role in obtaining and transferring Fizz’s confidential information to Sidechat’s owner, Flower Ave Inc., which also acquired the Yik Yak app in 2023.

Fizz’s application also reveals that Lu has continued to create channels, including information about Fizz’s fundraising efforts and other issues on Sidechat.

A screenshot of the text attached to the file shows Lu sharing notes with Flower after meeting Fizz in March 2022, the complaint says. At that meeting, Fizz founders Teddy Solomon and Ashton Cofer shared non-public information about Fizz’s “business strategy, growth plans, campus launch playbook, user metrics, affiliate program, fundraising efforts, and product roadmap,” the complaint says.

Lu went on to invest in Sidechat’s second seed round in October 2023, according to PitchBook data. However, Fizz says that Lu had been in talks with Sidechat in 2022.

Additionally, Fizz claims that Jack Burlinson, an acquaintance of both the founders and Lu, shared confidential information — including the location of Fizz’s investors and the investors’ fall summary — with Lu, who then forwarded it directly to Sidechat.

Requests for comment sent to Lu and Maveron were not returned. Fizz declined to comment.

Kyle Venn, CEO of social networks Yik Yak and Sidechat, shared the following with TechCrunch via email:

“These are allegations, not court findings. 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 received the lawsuit. No one on today’s working team was involved. We are currently focused on making a good product, not suing other apps.”