The Grand Melee is an opportunity for players to pit their characters against each other in a no-holds-barred fight to the last man (or woman - or goblin). You sign up and each round you get to pick whom to attack and in which way.
The fight lasts until a winner has been determined. The game will wait for at least one minute before moving from one round to the next. During this time you may assign a combat action to your character. If you do not act, the game will select a random opponent for you and your character will attack automatically. This way, you have a chance to win even though circumstances may prevent you from making your move on time.
Possible combat actions are: attacking another player character, using an item for or against a character (or yourself) or running away. You fight with the items on your person and cannot replenish them once the melee has started. You may quit at any time without incurring a penalty. Quitters will not be admitted into the Hall of Fame and have to wait until this melee is over before they are admitted again to the grand melee. It is possible to help other players or coordinate attacks. Yet, in the end it is everyone for him-her-or-itself, so you will need to watch your back for attacks by those pretending to be your friends. Do not hesitate to attack others of your order - there can be only one!
Note: at the moment, some of the mentioned features (item use, hall of fame) have not been implemented yet,