Opinion ID: 1702659
Heading Depth: 1
Heading Rank: 16

Heading: Confidential and Proprietary Information and Trade Secret

Text: Radiology Services alleges that Hall committed legal malpractice by disclosing its client contact information to Rounsborg and Great Plains Radiology. It claims this disclosure constituted a failure to preserve confidential and proprietary information. Also relevant to this discussion is Radiology Services' claim that this disclosure was a trade secret violation. The evidence shows that Rounsborg was with Radiology Services for 25 years and was president of the corporation in 2003. Rounsborg knew the identities of the corporation's clients. In his deposition, Rounsborg recited a list of Radiology Services' clients from memory. Addresses of these clients were easily ascertainable. Even assuming Hall provided Rounsborg with a list of client addresses, she did not provide him with any information that he did not already have or that he was not otherwise entitled to have as president of the corporation. Her actions did not constitute a failure to preserve confidential or proprietary information. A customer list can be a trade secret in some circumstances. See Home Pride Foods v. Johnson, 262 Neb. 701, 634 N.W.2d 774 (2001). Courts are reluctant to protect customer lists to the extent that they embody information that is readily ascertainable through public sources. Id. Where time and effort have been expended to identify particular customers with particular needs or characteristics, courts will prohibit others from using this information to capture a share of the market. Id. Protected lists are distinguishable from mere identities and locations of customers that anyone could easily identify as possible customers. Id. To the extent that Hall disclosed the client list to Great Plains Radiology, it is evident that the identification of clients was made to advise Great Plains Radiology of the clients Rounsborg could not work with or solicit to avoid being in violation of his noncompete agreement. The list consisted of the names of the hospital clients and the city where each hospital was located. It was generally known among medical practitioners which radiology groups were providing services to the various hospitals. Hlavaty testified that if this information was not known, an individual could look at hospital board records or call an administrator, technologist, or physician to determine which radiology group serviced a particular hospital. The List of Prohibited Hospitals and Facilities given to Great Plains Radiology listed merely the names and locations of a portion of Radiology Services' customers whom Great Plains Radiology could easily have identified on its own. Furthermore, there is no evidence that Radiology Services suffered any damages as a result of the disclosure of the customer list to Rounsborg or Great Plains Radiology. Although Radiology Services lost three clients following Rounsborg's departure, each departing hospital indicated that it either was unhappy with the services provided by Radiology Services or wished to maintain its relationship with Robinson. This assignment of error is without merit.