Dec 21, 2017

Coverdale Avoids Debt With Bankruptcy in JZ Lawsuit

Racist Rant Video Lawsuit: Judge Rules Knight Failed to Prove Coverdale Caused Willful and Malicious Injury

Andrew Kollar 
Nisqually Valley News
December 21, 2017

Following five years of legal battles, JZ Knight is awarded nothing after Virginia Coverdale violated a non-disclosure agreement for leaking footage of a video that some characterize as a racist rant.

Knight is the head of the Yelm-area based Ramtha’s School of Enlightenment. She has what she calls “students” world wide. She claims to channel the 35,000-year-old Lemurian warlord Ramtha. Coverdale is a past student at RSE.

According to court documents, drama began to develop in 2007 or 2008 when Coverdale had an affair with Knight’s then-boyfriend James Flick. Upon hearing the news, Coverdale was expelled from the school but attended events some time later. In February, 2012 Knight allegedly channeled Ramtha in front of a gathering filled with RSE students and made statements referring to Coverdale as a “whore.”

Coverdale released video footage obtained from a third-party where Knight made what some claim were racist remarks towards Mexicans, Jews and Catholics.

“F--- God’s chosen people. I think they have earned enough cash to have paid their way out of the goddamned gas chambers by now,” she said to RSE students in the videotape.

In the video, Knight also said Mexicans breed like rabbits and are poisonous, all gay men were once Catholic priests and organic farmers smell bad.

Coverdale posted the video to YouTube Oct. 18, 2012 and a lawsuit was filed by Knight 11 days later. The lawsuit was against Coverdale and anonymous ex-RSE students for a breach of contract and injunction under the terms of a confidentiality clause.

Ex-students created an online messaging board where they would discuss concerns about Knight and her school. Knight tried to discover who was a part of the group by having Michael Wright, legal liaison for RSE, contact members of the group through email for litigation against Coverdale, according to court documents. The judge found Wright to be disingenuous in his reasoning behind the efforts and found the emails to be intimidating and suppressive to those who oppose Knight and RSE.

Knight was successful in suing Coverdale for violating the non-disclosure agreement and was awarded over $600,000. Coverdale countered and filed for voluntary bankruptcy, causing her debt to be discharged.

When Coverdale filed for bankruptcy, Knight filed another lawsuit of “abuse of process” and tried to form an argument of “willful and malicious” injury. The court did not find Coverdale to have improper motive in her defense and Knight failed to prove Coverdale caused willful and malicious injury.

Coverdale declared victory following the court ruling.

“Finally a judge who saw it all for what it was,” Coverdale said on her Facebook page. “He has restored my faith in the system. I cannot thank enough all who supported me over the years. I know it was really hard for you to watch me getting beat up by a criminal.”

Wright disagreed.

“Ms. Coverdale filing for bankruptcy is hardly a victory,” Wright stated in an email to the Nisqually Valley News. “It is an admission that she got in way over her head and accumulated debts that she felt she was unable to repay at present or in the years ahead without intervention by the court. It is the financial equivalent of calling 911.”

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