Logan Paul Scores Major Court Victory in Defamation Case Against Coffeezilla

The Logan Paul defamation lawsuit against YouTube investigator Stephen Findeisen, known as Coffeezilla, will proceed after a Texas magistrate judge ruled that the statements made about Paul’s CryptoZoo project may be considered defamatory.

In a report filed on March 26 in a San Antonio federal court, Magistrate Judge Henry Bemporad recommended that the lawsuit continue, determining that Logan Paul had sufficiently alleged Findeisen’s remarks were not just opinions but potentially damaging falsehoods. This ruling represents a key step in Paul’s ongoing effort to defend his reputation following controversy around his NFT venture, CryptoZoo.

The Basis of Logan Paul’s Defamation Claim

The lawsuit stems from Findeisen’s public statements describing Logan Paul as a “serial scammer” and labeling CryptoZoo as a “scam” and a “massive con.” These allegations appeared in two YouTube videos and a social media post, all of which criticized the CryptoZoo project and Logan Paul’s involvement.

CryptoZoo was introduced as a blockchain game where users could purchase non-fungible token (NFT) “eggs” that would hatch into unique animal hybrids. Players could then breed these animals to earn tokens based on their rarity. However, the project never materialized, leading to widespread criticism and backlash.

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In his March 26 report, Judge Bemporad stated that Findeisen’s remarks were “reasonably capable of defamatory meaning” and exceeded the bounds of mere opinion. He emphasized that disclaimers included in Findeisen’s videos were “not particularly prominent” and insufficient to neutralize the defamatory nature of the statements.

CryptoZoo Controversy and Legal Fallout

Logan Paul filed the defamation lawsuit in June 2024, claiming that Findeisen’s comments harmed his business relationships and personal reputation. The case is one of several legal battles Paul has faced following CryptoZoo’s failure.

In 2023, Paul pledged $2.3 million to refund investors who purchased CryptoZoo NFTs, provided they agreed not to pursue legal action over the project. He is also fighting a class-action lawsuit filed by CryptoZoo buyers and has launched a countersuit against two former business partners, whom he blames for the project’s collapse.

Coffeezilla’s Defense

Findeisen has argued that his statements were opinion-based commentary, protected under the First Amendment. However, Judge Bemporad concluded that his specific claims—calling Logan Paul a “serial scammer” and the project a “scam”—crossed the line into potentially defamatory territory.

Also read: Logan Paul Under Fire: New BBC Investigation Uncovers Crypto Promotion Allegations

The court also highlighted that Findeisen’s disclaimers were only visible when viewers expanded the video description, which did little to offset the factual presentation of his accusations.

What’s Next in the Logan Paul vs. Coffeezilla Case

Both parties have 14 days to file objections to Judge Bemporad’s recommendation. If upheld by the overseeing federal judge, the case will proceed to the next phase in court.

This decision could set an important precedent in how defamation law applies to influencer-driven commentary on social media.