Customer Lists

News & Analysis as of

South Korea introduces further data protection breach penalties to encourage compliance, and issues mobile app guidance

Ever since January 2014, when South Korea’s credit card industry lost huge amounts of customer data during a data breach, the South Korean government has been gradually announcing stricter penalties for those who run afoul of...more

Striking a Balance: Alabama’s Newly-Amended Restrictive Covenant Statute

When Alabama Governor Robert Bentley signed House Bill 352 into law on June 11, 2015, he repealed Alabama’s bare bones restrictive covenant statute and replaced it with a detailed codification of much of Alabama’s restrictive...more

Customer Data in Corporate Sales - A Privacy Issue: German Privacy Watchdog Fines Seller and Purchaser for Personal Data Transfer

In a press release on 30 July 2015, the Bavarian data protection authority (DPA) announced that it had recently fined both seller and purchaser for unlawfully transferring customer data as part of an asset...more

Transferring Customer Data in an Asset Sale

Be careful what you’ve promised your customers…or what has been promised about data you buy! In today’s world, consumer data is a huge asset for companies across all industries, in particular those in...more

Go Head Over Heels To Protect Trade Secrets (And Other Gymnastics Related Puns)

Face it. No matter what industry you are in and no matter how big your company, there will come a day when one of your most valuable employees doesn't work there anymore. When that happens, it's natural to feel disappointed...more

CPUC Judge Finds Uber in Contempt, Threatens Suspension of Service

Uber may have to suspend service in California and pay a $7.3 million fine as a penalty for withholding information from state regulators, according to a ruling this week by a CPUC administrative law judge. The decision found...more

North Carolina Business Court Revisits When Customer-Related Information is a Trade Secret

The North Carolina Business Court recently revisited the question of when a business’s customer-related information can be considered trade secrets. In Southern Fastening Systems, Inc. v. Grabber Construction Products, Inc.,...more

Is Your Insurance Brokerage Treating Commission Payable Statements as Trade Secrets?

In the modern insurance world, maintaining trade secrets is imperative for commercial success. Misappropriation of trade secrets will often lead to costly and protracted litigation, and can even irreparably harm a business....more

Corporate Divorce: Property (Re)Distribution

Who Owns What - Unlike the marital relationship, which hypothetically balances power between spouses, the employment relationship is founded on the central concept of control: it is the employer who dictates the time,...more

Securing your Network: Claiming Contacts as Trade Secrets

The paradigmatic trade secret is something that is obviously technical, such as source code or the formula for Coke. Though trade secrets protection is not limited to technical trade secrets, it can sometimes be tricky to...more

Privacy & Cybersecurity Update - May 2015

In This Issue: - Second Circuit Rules Patriot Act Does Not Authorize Bulk Metadata Collection; Congress Reconsiders Certain Patriot Act Authorities - SEC Issues Cybersecurity Guidance for Investment Companies...more

Aspects of Private Social Media Groups May Be Protectable Under Illinois Trade Secret Law

In Illinois federal court, a plaintiff alleged aspects of their LinkedIn group were trade secrets misappropriated by the defendant. The defendant moved to dismiss for failure to state a claim. The court denied the motion in...more

Privacy Policy Impacts RadioShack’s Sale of Customer Information

On April 10, 2015, RadioShack, and certain affiliated debtor entities, proposed a bankruptcy sale of certain assets, including Personally Identifiable Information (“PII”). Deposition testimony in the case revealed that, over...more

Third Parties, Government Challenge RadioShack’s Sale Of Customer Data

On May 13, an affiliate of Standard General LP agreed to pay $26.2 million for a portfolio of the bankrupt RadioShack Corp.’s intellectual property, including a database of 67 million RadioShack customer addresses, 8.5...more

RadioShack bankruptcy court approves sale of personal information collected by debtor

Earlier this year, an affiliate of the hedge fund Standard General LP assumed more than 1,700 RadioShack® store leases in an auction sale in the electronics retailer’s bankruptcy. Standard General reportedly plans to partner...more

Privacy Concerns Jeopardize Sale of RadioShack Customer Data

When it comes to customer data, privacy and value can be in direct competition. RadioShack’s latest move is a good example. Earlier this week, RadioShack, which filed Chapter 11 bankruptcy in February, commenced an...more

Objections To Radioshack’s Sale of Customer Data Cause Static In Advance of Auction

Uncertainty will hang over the upcoming bankruptcy auction of RadioShack’s intellectual property, franchise infrastructure, and customer data pending resolution of an ongoing struggle between RadioShack and several states’...more

Privacy & Cybersecurity Update - April 2015

In This Issue: - DOJ Issues Cyber Preparation and Response Guidance - RadioShack’s Plan to Auction Customer Data Highlights Issues Over Treatment of Such Data as an Asset - Google v. Vidal-Hall and...more

An Interesting Trade Secrets Case From The Business Court

If you were unsure whether customer information held by your client -- like customer contact information, sales reports, prices and terms books, sales memos, sales training manuals, commission reports, and vendor information...more

Former Customers as a Legitimate Business Interest?

When do former customers constitute a legitimate business interest? In a sale of business context, the short answer is, “Pretty much all of the time.” The purchaser of assets and goodwill of a business can, by...more

Toysmart Pt. Deux

An auction of RadioShack assets which concluded this week included the names and physical addresses of 65 million customers and email addresses of 13 million customers. The auction result and transfer of assets is still...more

Is Your Client's Customer Information A Trade Secret? Maybe, If You Plead It Specifically Enough.

I have remarked before how hard the Business Court has been on Plaintiffs making trade secrets claims. You can look here and here for example of these prior posts. The Court has often dismissed trade secrets claims on a...more

New Strings Attached: LinkedIn Contacts Are Now Trade Secrets?

From a birds-eye view, Cellular Accessories For Less, Inc. v. Trinitas, LLC appears to be a typical dispute between an employer and its former employee. However, a closer look reveals an issue new to the world of trade...more

Are LinkedIn Contacts The Employer's Trade Secrets?

A federal district court in California held in Cellular Accessories For Less, Inc. v. Trinitas LLC that whether LinkedIn contact information can be an employer's trade secret is a factual dispute that must be decided by a...more

Fenwick Employment Brief - October 2014

New Laws Affecting California Employers - The 2014 legislative session is in the books, and it produced several new laws affecting employers in California, including: Private arbitration companies must provide...more

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