The World Entertainment News Network has apologised and paid damages to Will Smith after it reported him saying he thought Hitler was a good man.
Ms Atkins said the star, who was not in court, was "a highly-respected actor of international repute and a man of complete integrity".
She said the I Am Legend star believed Hitler to be "a vile and heinous man".
"The article alleged that the claimant had declared in an interview that Nazi dictator Adolf Hitler was a good person," she said.
"The allegation is false and without any foundation.
"It wholly misrepresents the claimant's actual words, given in an interview to the Daily Record, a Scottish newspaper and website."
What Smith actually said was the slightly more subtle 'Hitler thought what he was doing was good':
Actually, we're quite taken with the idea of Hitler waking up in the morning and deciding what he's going to do each morning; perhaps over a bowl of sugarpuffs.