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colÂ·lude. (kÉ-loÍodâ²) intr.v. colÂ·ludÂ·ed, colÂ·ludÂ·ing, colÂ·ludes. To act together, often in secret, to achieve an illegal or improper purpose: The managers and the union leaders regularly colluded to rob the plantations at the expense of the workers (Daniel Wilkinson).
Collusion Law and Legal Definition. Collusion occurs when two persons or representatives of an entity or organization make an agreement to deceive or mislead another. Such agreements are usually secretive, and involve fraud or gaining an unfair advantage over a third party, competitors, consumers or others with whom they are negotiating.