Compuware Corp. v. Serena Software International, Inc.

77 F. Supp. 2d 816, 1999 U.S. Dist. LEXIS 19485, 1999 WL 1198793
CourtDistrict Court, E.D. Michigan
DecidedNovember 30, 1999
Docket2:98-cv-73953
StatusPublished
Cited by32 cases

This text of 77 F. Supp. 2d 816 (Compuware Corp. v. Serena Software International, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Compuware Corp. v. Serena Software International, Inc., 77 F. Supp. 2d 816, 1999 U.S. Dist. LEXIS 19485, 1999 WL 1198793 (E.D. Mich. 1999).

Opinion

ORDER

JULIAN ABELE COOK, JR., District Judge.

On October 19, 1999, the Defendant, Serena Software International, Inc. (Serena), filed a motion, in which it asked this Court to reconsider its Order of October 5, 1999. The challenged Order, which incorporated the conclusions that had been reached by the Court during a hearing on *818 September 21, 1999, denied Serena’s request for the entry of a summary judgment. It had been, and continues to be, Serena’s position that the claim for trade secret misappropriation by the Plaintiff, Compuware Corporation (Compuware), must fail for lack of a secret because the allegedly sensitive information had been open for public inspection. 1

In the present motion, Serena submits that the failure of the Court to rule on the principal legal question in its application for dispositive relief (to wit, whether “trade secret protection [was] lost when Compuware sought copyright registration of its user manuals” and deposited unre-dacted copies of those manuals for public inspection at the Copyright Office of the United States) constitutes a palpable defect which, if corrected, would produce a different outcome.

Although this Court did not explicitly delineate the contours of its opinion in the Order of October 5, 1999, its central ruling clearly can be inferred from the text. 2 Thus, for the reasons that have been set forth below, the Court disagrees with the arguments that have been advanced by Serena.

I

This case involves a dispute between the parties as to whether the claim of Compu-ware, who contends that Serena misappropriated its trade secrets, has any legal efficacy. Compuware develops and licenses proprietary computer systems, including its File-AID products. A copy of each of the File-Aid products at issue here had been submitted to the Copyright Office of the United States for registration prior to the commencement of this litigation. 3 These copies were to be open for public inspection, 4 and, with the exception of certain source codes, none of the material was redacted. 5 Even so, there is no evidence that the products or their contents were known to persons inside or outside of the industry or among the general public during any of the times at issue. There is no evidence that anyone outside of the Com-puware corporate structure, its customers, or the Copyright Office viewed the material prior to the commencement of this litigation. 6 On the other hand, there is evidence that Compuware took significant precautionary steps to restrict the publication of its material, including the File-AID products, to its employees and prospective and actual customers. 7 Access to this material was granted by Compuware only if and when the employee or customer, executed an agreement which required complete secrecy of the form and content of the materials. 8

*819 II

In reviewing requests for reconsideration, this Court is guided by the Local Rules which provide, in part, that

motions for rehearing or reconsideration that merely present the same issues ruled upon by the court, either expressly or by reasonable implication [will not be granted]. The movant shall not only demonstrate a palpable defect by which the Court and the parties have been misled but also show that a different disposition of the case must result from a correction thereof.

E.D. Mich. R. 7.1(g)(3). 9 These Local Rules do not confer procedural rights upon the litigants. Rather, they are judicial rules of self-governance that aid the district courts in handling the docket in an effective and efficient manner. See Valassis Communications, Inc. v. Aetna Cas. & Sur. Co., 97 F.3d 870, 873 (6th Cir.1996) (citing United States v. Kingston, 922 F.2d 1234 (6th Cir.1990)).

Here, the palpable defect, about which Serena complains, allegedly occurred in the disposition of a motion for partial summary judgment. The standards for the entry of a summary judgment are set forth with specificity in Federal Rule of Civil Procedure 56, which permits the entry of such a judicial remedy only if “there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.” Fed.R.Civ.P. 56(c). In pursuing its dispositive motion, the burden was on Serena to demonstrate the absence of a genuine issue of a material fact. See Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986). This burden would have been satisfied only “if the evidence [was] such that [no] reasonable jury could return a verdict for the nonmoving party.” Id. 10

In applying this standard, the Court examined all of the pleadings and evidence in a light that was most favorable to Compu- *820 ware. Fed.R.Civ.P. 56(c); see United States v. Diebold, Inc., 369 U.S. 654, 655, 82 S.Ct. 993, 8 L.Ed.2d 176 (1962); Boyd v. Ford Motor Co., 948 F.2d 283, 285 (6th Cir.1991). At the same time, it was not the task of this Court “to weigh the evidence and determine the truth of the matter but to determine whether there [was] a genuine issue for trial.” Anderson, 477 U.S. at 250, 106 S.Ct. 2505; see 60 Ivy Street Corp. v. Alexander, 822 F.2d 1432, 1435-36 (6th Cir.1987).

III

In this motion, Serena contends that a palpable defect was created when its request for the entry of a judgment against Compuware was denied with regard to the misappropriation of trade secrets claim, which arose under the supplemental jurisdiction of the Court in a federal lawsuit for copyright infringement. See generally 28 U.S.C. §

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Bluebook (online)
77 F. Supp. 2d 816, 1999 U.S. Dist. LEXIS 19485, 1999 WL 1198793, Counsel Stack Legal Research, https://law.counselstack.com/opinion/compuware-corp-v-serena-software-international-inc-mied-1999.