Texas Court Enters $11.3 Million Default Judgment for Wallace Dunn Against Matt Coday and Oil & Gas Workers Association
Judgment follows dismissal of multimillion-dollar counterclaims in defamation dispute involving Ector County hospital board member
ODESSA, Texas — The 358th District Court of Ector County entered an $11,300,611 default judgment Oct. 8 in favor of Wallace Dunn in his defamation lawsuit against Matthew Coday and Oil & Gas Workers Association Inc. (OGWA).
Dunn, a U.S. Army veteran and member of the Ector County Hospital District Board, filed the lawsuit in August 2024 after Coday and OGWA publicly accused him of violating federal patient privacy laws, commonly known as HIPAA, and being under investigation for disclosing confidential patient information. Dunn’s lawsuit alleged that the accusations were false and damaged his personal and professional reputation.
According to the complaint, the allegations followed Dunn’s resignation from OGWA’s board after he raised concerns about the organization’s meetings and financial records. The complaint also stated that federal authorities had closed a HIPAA complaint filed by Coday without further investigation in August 2023, yet Coday continued making accusations against Dunn. Before filing suit, Dunn demanded that Coday and OGWA retract and correct their statements. Coday refused.
Coday subsequently filed counterclaims seeking tens of millions of dollars in damages. In July 2025, the trial court dismissed those claims under the Texas Citizens Participation Act, a law protecting certain speech-related activities from meritless litigation. The Eleventh Court of Appeals dismissed the ensuing appeals for lack of jurisdiction in January 2026, leaving the trial court’s dismissal orders in place. Dunn’s defamation claims subsequently proceeded to default judgment.
“Mr. Dunn asked Coday and OGWA to retract their accusations before this litigation began,” said Trey Trainor, a partner at Dhillon Law Group. “Instead, Coday pursued counterclaims seeking tens of millions of dollars, which were dismissed. The court has now entered an $11.3 million default judgment in Mr. Dunn’s favor. We are proud to have stood with him as he fought to protect his reputation.”
In addition to serving on the Ector County Hospital District Board, Dunn serves on the board of the Permian Basin International Oil Show and has worked in the oil and gas industry for more than 20 years.
About Dhillon Law Group
Dhillon Law Group is a nationally recognized law firm representing individuals and organizations in defamation, First Amendment, civil rights, election law and constitutional litigation. For more information, visit www.dhillonlaw.com
