Robinson Bradshaw On Trial Team For $106 Million Win For Cargill

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Jan. 24, 2018

Chief U.S. District Judge Frank Whitney ruled Monday that two shareholders of WDS, Inc. must pay Cargill, Inc. and its subsidiary Cargill Meat Solutions $105.5 million under the federal Racketeer Influenced and Corrupt Organizations Act. A jury found the shareholders liable for conspiracy in violation of RICO § 1962(d), prompting the Court to treble against the shareholders the $35.2 million damages award as to all defendants. Cargill had accused WDS and its shareholders of engaging in a racketeering scheme to overcharge Cargill for products and services over a multiyear period, including by bribing Cargill personnel to facilitate and conceal the scheme.

The Court will next determine whether to treble damages separately under the North Carolina Unfair and Deceptive Trade Practices Act, as well as consider Cargill's motion for an award of attorneys' fees and costs. 

"We are pleased the courts agreed with Cargill that WDS engaged in fraud against us. The justice system is now holding the company and its owners accountable for the significant losses Cargill experienced as the result of their deceptive actions," Cargill said in a statement Tuesday.

Robinson Bradshaw attorneys Ted Hennessey, Fitz Barringer and Morgan Abbott represented Cargill in this case, along with Faegre Baker Daniels.

Read Law360's article, "Cargill Wins $106M RICO Award Against Warehouse Co.," for more information. Law360 also featured this case in its weekly roundup of "legal lions." That article is available here.

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