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RCD files corporate espionage lawsuit against McGraw-Hill Construction Dodge -

Construction information provider Reed Construction Data (RCD), US, a wholly-owned subsidiary of Reed Elsevier, has filed a suit in federal court against McGraw-Hill Construction Dodge, a unit of The McGraw-Hill Companies, Inc. The suit charges Dodge with unlawfully accessing confidential and trade secret information from RCD since 2002 by using a series of fake companies to pose as RCD customers.

The corporate espionage lawsuit, filed in the US District Court for the Southern District of New York, seeks an unspecified amount in lost profits and punitive damages and trial by jury. It also seeks injunctive relief as a result of Dodge’s misuse of RCD’s proprietary construction project information.

The complaint charges that Dodge hired consultants to subscribe to RCD’s confidential data under the cover of fake names and companies. Dodge then allegedly manipulated the information to create misleading comparisons between Dodge’s and RCD’s products and services in an effort to mislead the marketplace.

The complaint cites 11 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; monopolisation; attempted monopolisation; and unjust enrichment.

The New York office of international law firm Troutman Sanders filed the action, led by partner William N. Withrow, Jr.

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