Legal Question in Business Law in California

privacy of business

Dear LawGuru, I had a business relationship with a person, and that person went to a competitor with whom I still have a current business relationship under contract, and disclosed the terms of our business. Further, he falsely told the competitor that I had hired him for $3500 a month. needless to say this put a big strain between my company and the competitor with whom i have since recnciled. I feel the person i dealt with misrepresneted the business relationship, used false and decptive tactics to willfully sever my relationship with the competitor, thereby positioning himself as the permanent inheritor of my business. Did he violate the ramm-Leach-Bliley Act passed July, 2001(a federal law) that prohibits a service provider from disclosing nonpublic personal information without getting prior consent and/or allowing us the opportunity to ''opt out'' http://www.ftc.gov/privacy/glbact/


Asked on 12/31/02, 4:39 pm

1 Answer from Attorneys
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: privacy of business

Possibly, but I think you are barking up the wrong tree by trying to bring a business tort under what is intended primarily as a consumer protection statute.

You have a much better shot at getting money damages and/or an injunction (or speedy out-of-court settlement) if you sue under California trade secret law for improper use of trade secrets and California business tort law for interference with contract. The former is largely statutory; the latter largely common law based upon court decisions.

I suggest you get a local business lawyer to give you a free consultation to determine whether the facts warrant a lawsuit. Even though most such matters settle before trial, just initiating the process can be costly, so you want a good review of your facts and chances for success.

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Answered on 12/31/02, 6:10 pm


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