Governo Law Firm, LLC v. CMBG3 Law, LLC

34 Mass. L. Rptr. 109
CourtMassachusetts Superior Court, Suffolk County
DecidedJanuary 13, 2017
DocketNo. 1684CV03949BLS2
StatusPublished

This text of 34 Mass. L. Rptr. 109 (Governo Law Firm, LLC v. CMBG3 Law, LLC) is published on Counsel Stack Legal Research, covering Massachusetts Superior Court, Suffolk County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Governo Law Firm, LLC v. CMBG3 Law, LLC, 34 Mass. L. Rptr. 109 (Mass. Super. Ct. 2017).

Opinion

Salinger, Kenneth W., J.

The Governo Law Firm, LLC is suing six of its former partners and their new firm, which they call CMBG3 Law, LLC. The Governo Firm is controlled by attorney David Governo. It specializes in defending clients against asbestos and toxic tort claims. During the summer and fall of 2016 David Governo and the seven other partners of the Governo Firm discussed and negotiated the possible sale by Governo of his interest in the firm to the other partners. When those negotiations were unsuccessful, six of the eight partners announced that they planned to leave to start their own firm. Governo then locked them out of the firm on November 20, 2016.

The Governo Firm claims that the six individual defendants stole proprietary databases, electronic files or data, and computers that belong to the Gov-emo Firm. Plaintiff seeks a preliminary injunction that would require Defendants to: return all electronic databases and files they allegedly took from the Gov-emo Firm, except for any files that pertain to client matters for which CMBG3 has been retained to represent the client; return all laptop computers and iPads that belong to the Governo Firm; allow Plaintiff to permanently delete all of its data from Defendants’ cell phones; and require Defendants to certify compliance and also to disclose any Governo Firm property in their possession.

The Court concludes that it must DENY the preliminary injunction request because the Governo Firm has not met its burden of proving that it will suffer irreparable harm without the requested injunction.

1. Legal Standards

“A preliminary injunction is an extraordinary remedy never awarded as of right.” Winter v. Natural Res. Def. Council, Inc., 555 U.S. 7, 24 (2008). To the contrary, “the significant remedy of a preliminary injunction should not be granted unless the plaintiffs had made a clear showing of entitlement thereto.” Student No. 9 v. Board of Educ., 440 Mass. 752, 762 (2004). ‘Trial judges have broad discretion to grant or deny injunctive relief.” Lightlab Imaging, Inc. v. Axsun Technologies, Inc., 469 Mass. 181, 194 (2014).

A plaintiff is not entitled to preliminary injunctive relief if it cannot prove that it is likely to succeed on the merits of its claim. See, e.g., Fordyce v. Town of Hanover, 457 Mass. 248, 265 (2010) (vacating preliminary injunction on this ground); Wilson v. Commissioner of Transitional Assistance, 441 Mass. 846, 858-59 (2004) (same). “(T]he burden of showing a likelihood of success on the merits is on the parfy seeking the preliminary injunction.” Berrios v. Dept of Pub. Welfare, 411 Mass. 587, 598 (1992), quoting Robinson v. Secretary of Admin., 12 Mass.App.Ct. 441, 451 (1981).

Nor may a plaintiff obtain a preliminary injunction without proving that it will suffer irreparable harm in the absence of such an order, and that such harm to the plaintiff from not granting the preliminary injunction would outweigh any irreparable harm that defendants are likely to suffer if the injunction issues. See, e.g., American Grain Products Processing Institute v. Department of Pub. Health, 392 Mass. 309, 326-29 (1984) (vacating preliminary injunction on this ground); Nolan v. Police Comm’r of Boston, 383 Mass. 625, 630 (1981) (same). Once again, the moving parfy has the “burden of showing it would suffer an irreparable harm absent an injunction.” GTE Products Corp. v. Stewart, 414 Mass. 721, 726 (1993).

2. Databases and Electronic Files

Plaintiff accuses the individual Defendants of stealing six different databases (which it calls the “FileM-aker Databases” after the name of the software on which they run), an additional electronic compilation of source materials (which it calls the “GLF Collections,” with the acronym GLF referring to the Governo Law Firm), and electronic versions of portions of its client matter files (which it calls the “Electronic Litigation Files”). The Governo Firm says that it created and uses the following FileMaker databases in its business: (1) a Client Management Database that contains client contact and billing information, historical information about the client, and lists the matters in which each client has been sued; (2) an Asbestos File Management Database that contains information taken [110]*110from the client’s matter flies about each asbestos lawsuit in which the client has been sued, such as the caption of the suit, where the suit is pending, personal information about the plaintiff and contact information for the plaintiffs counsel; (3) a State of the Art Database that contains scientific and medical articles about diseases alleged to have been caused by exposure to asbestos; (4) a Talc Database containing similar publications about diseases linked to talc exposure; (5) a Bankruptcy Trust Database containing information gleaned from bankruptcy files that can be used to identify potential third-party defendants; and (6) a Mail Log Database that is used to record when the Governo Firm sends or receives correspondence about a client matter, but does not contain copies of the actual correspondence. In addition, the Governo Firm says that it has compiled and maintained electronic copies of materials (the so-called “GLF Collections”) that are useful in defending against asbestos lawsuits, including scientific and medical articles, CVs and deposition transcripts of expert witnesses, deposition transcripts of fact witnesses, legal research, Daubert-type motions, and court rulings. Finally, Plaintiff says that it also keeps electronic client matter files that are separate from the FileMaker Databases and the GLF Collections. These “Electronic Litigation Files” contain confidential attorney-client communications and attorney work product. The other databases and electronic files at issue do not.

The Governo Firm did not submit any admissible evidence to support its accusation that the individual Defendants stole copies of these electronic materials. In the Verified Complaint, David Governo asserts “on information and belief’ that defendant Bryna Rosen Misiura copied the FileMaker Databases, the GLF Collections, and electronic client files from a Governo Firm computer a few weeks before she left the firm. Assertions “ ‘made on information and belief as opposed to personal knowledge,’... constitute inadmissible hearsay.” Billings v. GTFM, LLC, 449 Mass. 281, 295 (2007), (quoting Shapiro Equip. Corp. v. Morris & Son Constr. Corp., 369 Mass. 968, 968 (1976). As a general matter, when deciding a motion for a preliminary injunction a judge is free to consider evidence that would be inadmissible at trial, though “[t]he possible inadmissibility of evidence can be taken into account by the judge in according proper weight to the evidence.” Planned Parenthood League of Massachusetts, Inc. v. Operation Rescue, 406 Mass. 701, 711 n.9 (1990). But assertions in an affidavit or verified complaint made on “information and belief’ that are not supported by any other evidence do “not supply an adequate factual basis for the granting of a preliminary injunction.” Eaton v. Federal Nat’l Mortgage Ass’n, 462 Mass. 569, 590 (2012); accord Alexander & Alexander, Inc. v. Danahy, 21 Mass.App.Ct. 488, 494 (1986). Although Plaintiff has shown that Attorney Misiura directed an IT support consultant to

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Related

Alexander & Alexander. Inc. v. Danahy
488 N.E.2d 22 (Massachusetts Appeals Court, 1986)
Planned Parenthood League of Massachusetts, Inc. v. Operation Rescue
550 N.E.2d 1361 (Massachusetts Supreme Judicial Court, 1990)
GTE Products Corp. v. Stewart
610 N.E.2d 892 (Massachusetts Supreme Judicial Court, 1993)
Robinson v. Secretary of Administration
425 N.E.2d 772 (Massachusetts Appeals Court, 1981)
Berrios v. Department of Public Welfare
583 N.E.2d 856 (Massachusetts Supreme Judicial Court, 1992)
Lightlab Imaging, Inc. v. Axsun Technologies, Inc.
13 N.E.3d 604 (Massachusetts Supreme Judicial Court, 2014)
Gladstone v. Treasurer & Receiver General
147 N.E.2d 786 (Massachusetts Supreme Judicial Court, 1958)
Shapiro Equipment Corp. v. Morris & Son Construction Corp.
341 N.E.2d 668 (Massachusetts Supreme Judicial Court, 1976)
Nolan v. Police Commissioner
420 N.E.2d 335 (Massachusetts Supreme Judicial Court, 1981)
American Grain Products Processing Institute v. Department of Public Health
467 N.E.2d 455 (Massachusetts Supreme Judicial Court, 1984)
Student No. 9 v. Board of Education
440 Mass. 752 (Massachusetts Supreme Judicial Court, 2004)
Wilson v. Commissioner of Transitional Assistance
809 N.E.2d 524 (Massachusetts Supreme Judicial Court, 2004)
Billings v. GTFM, LLC
867 N.E.2d 714 (Massachusetts Supreme Judicial Court, 2007)
Fordyce v. Town of Hanover
457 Mass. 248 (Massachusetts Supreme Judicial Court, 2010)
Eaton v. Federal National Mortgage Ass'n
969 N.E.2d 1118 (Massachusetts Supreme Judicial Court, 2012)

Cite This Page — Counsel Stack

Bluebook (online)
34 Mass. L. Rptr. 109, Counsel Stack Legal Research, https://law.counselstack.com/opinion/governo-law-firm-llc-v-cmbg3-law-llc-masssuperctsuff-2017.