MIAMI — Claims by growers that they were victims of racketeering by the DuPont Co. when they settled crop damage claims were discarded by a federal judge Friday in a major legal victory for the chemical maker.
The decision on allegations that DuPont engaged in a high-level cover-up of a defective fungicide, coupled with earlier rulings dismissing fraud and all other claims, could end the cases, but an appeal is expected.
Thirty-four growers accused DuPont of racketeering and fraud for allegedly hiding test results implicating Benlate DF itself, rather than a contaminant, as the cause of damage primarily to nursery plants and especially in humid climates. The growers were among those who settled with DuPont in the early 1990s.
Stacey J. Mobley, DuPont's general counsel, said he was "very pleased" with the decision, which "strengthens our resolve to aggressively defend the company in all litigation involving Benlate." He said DuPont treated the growers "in a forthright and equitable manner."
U.S. District Judge Alan Gold was assigned to decide pretrial issues raised by growers who wanted to reopen their Benlate claims. His decisions leave nothing for trial.
"Judge Gold has proven that it pays to cheat," said Dale Smith, a former grower who blames the failure of his Native Hammock Nursery in suburban Homestead on DuPont. He never settled his Benlate claim and has a separate lawsuit against DuPont on appeal.
Growers claim that DuPont's assurances that a contaminant caused their problems led them to use fresh Benlate supplies when they replanted, causing new damage and business setbacks from which they were unable to recover.
But the judge said the claims were insufficient to satisfy the legal requirements for pursuing a racketeering claim.
DuPont, which ordered a halt to Benlate production in April after 32 years, has paid out more than $1 billion in settlements and legal fees on damage claims.