Two of us were in the arena just now playing head to head.
1. - Pick up and drop off of sheep worked for both as we chased each other from pen to pen.
2. - When either of us had a sheep and the other shot our plane, no jailing, some damage.
3. - If neither had a sheep and we shot each other, jailing once for a moment the first time we tested it.
4. - Then after a bit when we shot each other, you got teleported a few thousand yards away with a message about the last player was tagged and the tagger had the choice of the sheep.