Lyft Inc. and Rasier LLC (collectively, “Lyft”) filed suit under Washington’s Public Records Act, ch. 42.56 RCW (“PRA”), seeking to enjoin the City of Seattle from releasing quarterly zip code reports Lyft submits to the City pursuant to local ordinance. Lyft asserted that the reports are protected from public disclosure because they are trade secrets under the Uniform Trade Secrets Act, ch. 19.108 RCW (“UTSA”). The superior court entered a permanent injunction preventing release of the zip code reports, and the Washington Supreme Court accepted direct review of the court’s decision.

In a 5-4 decision, the Washington Supreme Court reversed the order granting injunctive relief. First, the Court determined that, while the evidence was mixed and the question was not beyond debate, substantial evidence supported the superior court’s findings that the zip code reports were trade secrets within the meaning of the UTSA.

Continue Reading Washington Supreme Court Holds Trade Secrets Not Categorically Excluded From Disclosure Under State Public Records Act, More Stringent Injunction Standard Applies

The federal Freedom of Information Act (“FOIA”) contains nine exemptions. Under the exemptions, the government can withhold information that might otherwise be available for disclosure. See 5 U.S.C. § 552(b)(1)-(9). FOIA “Exemption 4” applies to “trade secrets and commercial or financial information obtained from a person and privileged and confidential.” In a recent decision, the 9th Circuit Court of Appeals applied Exemption 4 to Notices of Seizure issued by the United States Bureau of Customs and Border Protection (“CBP”) to an importer of merchandise potentially infringing on a U.S. trademark.. CBP had heavily redacted the Notices of Seizure in responding to a FOIA request.

For application of Exemption 4, the 9th Circuit requires a government agency to demonstrate the information to be withheld is “(1) commercial and financial information, (2) obtained from a person or by the government, (3) that is privileged or confidential.” (Watkins v. U.S. Bureau of Customs and Border Protection, No. 09-35996, 5/6/11). The Court found that the Notices contained “plainly commercial information, which discloses intimate aspects of an importers business such as supply chains and fluctuations of demand for merchandise.”

Continue Reading Customs’ Notice of Seizure May be Redacted Under “Trade Secrets” Exemption to FOIA – But Not After Disclosure to Third Party