Since Nidhogg is finally out, the world needs a new in-development local multiplayer brawler to obsess over. I suggest that game should be Gang Beasts: a physicsy fighting game that seems to fall somewhere between the awkward shoving of Sumotori Dreams and that thing people do as kids/cool adults where they mash their jelly babies together in mock-fights before eating them.
Trailer and download link below.
The alpha currently available for download at the Gang Beasts IndieDB page is extremely early, but it's already fun to play, even on your own. I spent some time this weekend feeding motionless opponents into those grinding gears, and experimenting with the deliberately clumsy physics while riding atop the lorries.
As one of the brawlers, you can only really perform two actions: punch with either fist, or grab with either fist. It's the latter that makes it great. Aside from being able to pick people up and throw them from buildings, being able to hang on to things makes every fight turn into a desperate action sequence. More fighting games need to end with one player hanging for dear life from the side of a moving vehicle, or dangling precariously from a rope they've just disconnected from a now vertical platform.
There are a bunch more videos of specific levels in action over at the Gang Beasts Steam Greenlight page. I suggest you call your friends and invite them over now so you can play together by the time the small download finishes.