MLive Media Group v. Webber

Filing 17

ORDER FOR PRELIMINARY INJUNCTION Signed by District Judge Gershwin A. Drain. (Bankston, T)

UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF MICHIGAN
SOUTHERN DIVISION
MLIVE MEDIA GROUP, an
unincorporated Division of THE
HERALD PUBLISHING COMPANY,
LLC,
Plaintiff,
Case No. 14-cv-13148
HON. GERSHWIN A. DRAIN
vs.

KATHRYN WEBBER,
Defendant.
_________________________________/
ORDER FOR PRELIMINARY INJUNCTION
The Court having reviewed the Verified Complaint, the Motion for Temporary Restraining
Order and Preliminary Injunction, the Brief in Support, the Defendant’s Response in Opposition and
the Reply in Support, along with all the exhibits attached to the pleadings filed by Plaintiff, MLive
Media Group, an unincorporated division of The Herald Publishing Company, LLC (“MLive”); and
consistent with this Court’s Order Granting Plaintiff’s Motion for Preliminary Injunction entered
on this date;
IT IS HEREBY ORDERED that:
(1)

Defendant is hereby temporarily restrained and enjoined, directly or indirectly, from:
(a)

Soliciting or servicing any customers of MLive with whom she worked while
employed by MLive, for herself or on behalf of or in conjunction with any
other person, partnership, corporation or association, including, but not
limited to, Gannett, her current employer, until further order of this Court;

(b)

Soliciting or servicing any prospective customers of MLive about whom she
acquired confidential knowledge during her employment with MLive, for

herself or on behalf of or in conjunction with any other person, partnership,
corporation or association, including, but not limited to, Gannett, her current
employer, until further order of the Court;
(c)

(d)

(2)

Using or disclosing MLive’s confidential, proprietary, and trade-secret
information, except for customer information that Defendant can recall from
memory or customer information that is available through public sources;
and
Tortiously interfering with MLive’s contractual and business relationships
with its customers and prospective customers, and otherwise disparaging the
business of MLive to its customers and prospective customers.

Defendant is further ordered and required to:
(a)

Produce for a forensic inspection and analysis all of her computer
including, but not limited to, laptop and desktop computers, USB
including, but not limited to the two USB devices Defendant used with
work computer in July of 2014, external storage devices, and iPhones, and
online based email accounts and cloud based storage accounts and drop boxes
used by Defendant within twenty-four (24) hours of entry of this Order for
Preliminary Injunction.

(b)

Immediately return to MLive’s undersigned counsel all documents, data, files
and information obtained from MLive, including, but not limited to: all
originals and copies of tangible property, proprietary documents, trade
secrets, confidential information, discs, notes, customer files, customers
information, training information, employment information, businessdevelopment information, requests for proposal bids and all responses,
customer correspondence, marketing data, prospect meeting data, sales data,
proposals, financial information, pricing, contracts, marketing brochures,
marketing database, marketing plans, costs, customer lists, customer
information, internal weaknesses, prospect lists, client lists, employee lists,
alliance relationships, sales leads, employee information, business plans,
profit, margin, and forecasting information, strategic planning, service and
contract costs, and any other MLive data kept in any form or media
whatsoever, whether in hard copy or electronic format; and

(c)

Preserve all evidence related to Defendant’s employment with MLive and the
allegations and claims made in the Verified Complaint, in hard copy and
electronic form, related to the allegations in this case;

(d)

Not to destroy, erase, or otherwise make unavailable for further proceedings
in this matter, any records, telephonic records, or documents (including data
or information maintained in computer media) in Defendant’s possession,
custody, or control, or to which Defendant has access, including but not

equipment,
devices,
her
any

limited to, computers and/or data or server systems belonging to her current
employer, which were obtained from or contain information derived from
any of MLive’s confidential, proprietary, and/or trade-secret records or
information that relate to any of the allegations and claims in the Verified
Complaint.
(4)

The Court further finds that:
(a)

(b)

It is satisfied based on the evidence presented that it clearly appears from the
specific facts shown by the Verified Complaint that immediate and
irreparable injury, loss or damage will result to MLive, should this
Preliminary Injunction not issue.

(c)

(5)

MLive stands to lose its customers, confidential, proprietary, and trade-secret
information, the goodwill and referral business of its customers, and revenues
in an amount that cannot be readily ascertained. MLive is also faced with the
substantial risk that Defendant will unlawfully use MLive’s confidential and
proprietary customer information and continue to raid MLive’s customers to
MLive’s competitive disadvantage. Such anticipated losses constitute
irreparable harm in that they are so indefinite and speculative as to be
incapable of exact proof.

This Order for Preliminary Injunction has been entered after the issues were
fully briefed and argued on September 4, 2014 because irreparable harm to
MLive if a Preliminary Injunction is denied outweighs the harm to Defendant
if it is granted. Further, the public interest in protecting confidential
information and preserving the status quo justifies the issuance of this Order.

This Preliminary Injunction shall remain in full force and effect until further order
of this Court.

IT IS SO ORDERED.
Dated: September 4, 2014

/s/Gershwin A Drain
GERSHWIN A. DRAIN
UNITED STATES DISTRICT JUDGE