Reed Construction Data Amends Its Lawsuit Against McGraw-Hill Construction Dodge
12 December 2009 - 2:08AM
PR Newswire (US)
New charges that Dodge illegally accessed Reed Construction Data
systems to misappropriate data, gain competitive advantage
NORCROSS, Ga., Dec. 11 /PRNewswire/ -- Reed Construction Data
(RCD), a leading construction information provider and a
wholly-owned subsidiary of Reed Elsevier
(NYSE:RUKNYSE:NYSE:NYSE:ENL), today amended a suit in federal court
against McGraw-Hill Construction Dodge, a unit of The McGraw-Hill
Companies, Inc. (NYSE:MHP). The amended complaint raises new
charges that Dodge unlawfully misappropriated RCD's confidential
and trade secret information regarding specific construction
projects and used that information to populate its own project
database. The original lawsuit, filed Oct. 8, 2009, in the U.S.
District Court for the Southern District of New York, charged that
Dodge since 2002 used a series of fake companies to pose as RCD
customers and gain access to RCD's construction project information
database. RCD's amended complaint now alleges that Dodge also used
its access to RCD's database to misappropriate RCD's construction
information by downloading hundreds of project-related documents
and viewing the specific details for thousands of construction
projects. Dodge subsequently used this information to populate its
own database. Because of this conduct, Dodge was able to make
misleading claims that its products were superior to RCD's, thus
preventing companies from making fair and objective comparisons of
RCD's and Dodge's products. As a result, hundreds of companies made
misinformed buying decisions and in many instances paid a higher
price for construction data services. The amended complaint cites
multiple counts of misconduct by Dodge, including fraud,
misappropriation of trade secrets, misappropriation of confidential
information, unfair competition, tortious interference with
prospective economic advantage, violation of New York's general
business law, violation of the RICO Act, RICO conspiracy,
monopolization, attempted monopolization and unjust enrichment. The
suit seeks an unspecified amount in lost profits and punitive
damages, trial by jury, and injunctive relief as a result of
Dodge's misuse of RCD's proprietary construction project
information. Iain Melville, CEO of Reed Construction Data, said:
"We welcome strong competition, but it is simply not acceptable for
a company to try and gain unfair advantage by misappropriating our
data via deceptive means to distort the market. We believe this was
an attempt by Dodge to drive RCD out of business, and we look
forward to the courts addressing these violations." The New York
office of international law firm Troutman Sanders LLP filed the
amended action, led by partner William N. Withrow, Jr. For more
information, please visit
http://www.reedconstructiondata.com/mhcdodgesuit. About Reed
Construction Data Reed Construction Data, a wholly-owned subsidiary
of Reed Elsevier, is a leading North American provider of
construction information through a diverse portfolio of innovative
products and services. Reed Construction Data offers its customers
building information modeling (BIM) solutions, construction project
leads, building product information, construction cost tools,
market analytics and B2B marketing resources. For more information,
visit http://www.reedconstructiondata.com/. Media contact: Cohn
& Wolfe Public Relations 800-590-5412 DATASOURCE: Reed
Construction Data CONTACT: Cohn & Wolfe Public Relations,
1-800-590-5412, Web Site: http://www.reedconstructiondata.com/
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