E. Cobham Brewer 18101897. Dictionary of Phrase and Fable. 1898.
I am not going to bandy words with youi.e. to dispute about words. The reference is to a game called Bandy. The players have each a stick with a crook at the end to strike a wooden or other hard ball. The ball is bandied from side to side, each party trying to beat it home to the opposite goal. (Anglo-Saxon, bendan, to bend.)
The bat was called a bandy from its being bent.Brand: Popular Antiquities (article Golf, p. 538).