Federal court denies appeal petition from union in Titan RICO lawsuit

CHICAGO (Nov. 13)—A federal appeals court in Chicago has denied a petition for permission to appeal filed by the United Steelworkers of America in a pending racketeering lawsuit brought against the union by Titan International Inc. The U.S. Court of Appeals for the Seventh Circuit decided Nov. 7 not to reconsider a previous lower-court ruling denying dismissal of the case. Quincy, Ill.-based tire and wheel maker Titan filed a $240 million lawsuit against the USWA and more than 130 officers and members in September 2000, alleging their actions during a long labor dispute violated the Racketeering Influenced and Corrupt Organizations Act. A judge of the U.S. District Court for the Central District of Illinois in Springfield twice denied motions for dismissal, once in October 2001 and once in July of this year. Maurice Taylor Jr., Titan president and CEO, said it is "satisfying" to see this most recent decision, and expects the case to proceed to trial. If a decision eventually goes against the union, the RICO violations could carry treble damages and increase the value of the suit to as much as $720 million, Titan said.