A federal jury in Alabama has delivered a massive $256 million verdict against Washington, D.C.-based human rights attorney Terry Collingsworth, marking the culmination of a legal conflict that has spanned more than two decades and involved allegations of defamation, racketeering, and fabricated testimony.
The verdict represents a major legal and financial setback for one of the most prominent lawyers known for bringing international human rights claims against multinational corporations in U.S. courts. The ruling also sends a strong message about the risks attorneys face when courts conclude that litigation tactics crossed legal and ethical boundaries.
Background of the Dispute
The long-running conflict traces back to 2002, when Collingsworth filed lawsuits under the Alien Tort Statute accusing coal producer Drummond Company of collaborating with Colombian paramilitary groups responsible for the killings of union leaders near the company’s mining operations in Colombia.
Those cases alleged that Drummond benefited from and supported violent groups to suppress union activity. However, after years of litigation, a federal jury rejected the claims in 2007, finding in favor of Drummond and concluding that the company was not responsible for the alleged murders.
Despite that outcome, the dispute did not end. Drummond later accused Collingsworth of continuing to promote false allegations that harmed the company’s reputation and business relationships abroad.
Drummond’s Defamation and RICO Claims
In 2011, Drummond filed a defamation lawsuit against Collingsworth, arguing that he made false statements to foreign government officials and business partners suggesting that Drummond was linked to paramilitary violence.
The company later expanded its claims to include allegations under the federal Racketeer Influenced and Corrupt Organizations Act, commonly known as RICO. Drummond argued that Collingsworth and his law firm orchestrated a scheme to recruit and pay witnesses who allegedly provided false testimony to support claims against the company.
According to evidence presented at trial, jurors heard that certain witness payments were labeled as security, travel, or support expenses but were allegedly used to influence testimony. Drummond maintained that these practices amounted to a coordinated effort to manufacture evidence in support of false claims.
Jury Awards and Trebled Damages
The jury found Collingsworth and his firm liable for both defamation and racketeering violations. Jurors awarded approximately $68 million in damages related to the racketeering claims. Under federal law, RICO damages are automatically tripled, substantially increasing the total award.
In addition, the jury awarded roughly $52 million in compensatory and punitive damages related to defamation. These damages were tied to communications Collingsworth allegedly sent to Dutch government officials and Japanese business partners of Drummond, which the jury concluded contained false and damaging statements.
Combined with trebling under RICO and other awarded damages, the total judgment reached approximately $256 million.
Attorneys for Drummond said the verdict confirms that the company had no ties to illegal armed groups in Colombia and vindicates its long standing position in the dispute.
“This verdict confirms what courts and juries have already found that Drummond has no connection to illegal organizations in Colombia,” said Trey Wells, a lawyer for the company, in public comments following the verdict.
Collingsworth’s Response and Planned Appeal
Collingsworth has said he intends to appeal the verdict. He has consistently denied wrongdoing and has characterized Drummond’s lawsuits as retaliatory efforts designed to intimidate lawyers who bring human rights and corporate accountability cases.
USA: $256 Million Verdict Hits Human Rights Lawyer After Long Dispute
