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Corgi, the buzzy Y Combinator-backed insurance tech startup, says it didn’t steal an open source product

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Why This Matters

The controversy surrounding Corgi highlights the importance of originality and transparency in the rapidly evolving insurtech industry, emphasizing the need for startups to develop unique products and avoid legal disputes. For consumers and investors, this incident underscores the significance of due diligence when evaluating new tech solutions, especially in competitive markets like deal room software.

Key Takeaways

Y Combinator-backed insurance tech startup Corgi became embroiled in yet another controversy earlier this week when Papermark, maker of open source data room software, accused Corgi of stealing its software and passing it off as its own.

Corgi denies this, telling TechCrunch. “No code was used from Papermark.”

But there were reasons why people believed the initial allegation, which was made by Papermark co-founder Marc Seitz on X, concerning Corgi’s newly released product called Dataroom.

Seitz’s post blew up because he shared screenshots showing Corgi’s product using the same language for the same features as Papermark’s, word for word. Deal room software is essentially secure document sharing. It is famously used by startups to pitch VCs and send them supporting materials for due diligence.

Image Credits:Marc Seitz/Papermark

Seitz went as far as to call Corgi’s new product copyright and license-infringing, and “fraud.”

Corgi’s co-founder and CEO Nico Laqua saw the tweet and promised to investigate. Soon after, he posted on X his full denial with receipts of his own, showing that the code was different between the two products.

While he strenuously pushed back on the allegations of a license violation (“‘stole my enterprise-code’ is a different claim than ‘copied my style,” Laqua argued), he did admit that relying on a vibe-coding design led to the replica features.

“Looking back, we should’ve leaned more into our own language and visual choices instead of taking cues from existing products in the space, and that’s on us,” he posted.

A Corgi spokesperson confirmed to TechCrunch that the offending features were vibe-coded and said they have already been changed, downplaying the situation.

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