FaZe denied collecting any tournament earnings, Twitch revenue, YouTube revenue, and any revenue from social platforms. FaZe said that it has only collected $60,000 from the partnership, claiming that no tournament winnings or content revenue has been taken from Tfue.
The lawsuit is not specifically concerned with prize money or direct revenue from Tfue’s Twitch or social media accounts. Instead, the lawsuit focuses on allegations that Tfue’s contract with FaZe allowed the company to take up to 80 percent of sponsorship earnings.
“In simple terms,” the lawsuit says, “Faze Clan uses its illegal Gamer Contracts to limit Tenney to deals sourced exclusively by Faze Clan and to prevent [Tfue] from exploring deals presented by others; deals that are potentially superior to deals procured by Faze Clan; and deals that are not saddled with an eighty percent (80%) finder’s fee.”
The suit specifically accuses FaZe of preventing Tfue from attaining a sponsorship deal with peripheral company HyperX, which is a direct competitor to FaZe sponsor SteelSeries. Disallowing product sponsorship is odd considering FaZe lets its CS:GO players, for example, use whatever equipment they prefer regardless of brand.
Since news of the lawsuit broke, the esports community has been buzzing about about who’s in the right. On his stream, Tfue hasm advocated legal counsel for contracted players competing in the Fortnite World Cup. 100 Thieves CEO Matthew “Nadeshot” Haag chimed in briefly, vouching for organizational accountability against content creator exploitation, as in Tfue’s case.