Even so they are going to have to prove what the damages are. This means finding someone who is going to testify that they were going to give the "smeared" person money for some service then elected not to do so due to chess.com banning them. In short the smeared has to prove that they had a good reputation that has been irrevocably harmed by false information that cost them a definable amount of money.
Point I'm making is that the libel suit argument is just not valid.
? What's not valid? If you're using your real name, loss of reputation can involve damages... -- suppose Mr. RealHandle is a professional chess player who gives lessons... or a lawyer, or an accountant, or a journalist, or a politician... someone who is not supposed to be lying about their chess skills, or just not supposed to be lying, period. When their name is damaged online that person would have real world $ damages. Proving damages does NOT involve having to find someone who will testify they would have given you money. It involves convincing judge and jury that such people exist. Nor do we need to have some specific dollars amount that is at issue... How much exactly a reputation is worth is hard to figure, but that's exactly what the lawyers are there to do... argue about the amount.
Erik and his team have my complete faith that they are doing the right thing regarding potential cheaters and cheating detection.
I think that he goes out of his way to ensure that any policies they have protect the members, first and foremost.