McGraw-Hill Construction acknowledges paying third parties to subscribe to competitor site

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Norcross, Ga.—Reed Elsevier’s Reed Construction Data said Wednesday that a recent court filing by McGraw-Hill Construction’s Dodge unit acknowledged that it paid third parties to purchase subscriptions to RCD’s Reed Connect product from 2002 to 2009. This is a central allegation in RCD’s corporate espionage lawsuit filed last year against McGraw-Hill Construction.

RCD said that McGraw-Hill Construction used the information gained from these subscriptions to “gain an unfair advantage in the marketplace.” In addition to acknowledging it paid third parties to subscribe to Reed Connect, McGraw-Hill Construction’s recent court filing acknowledged it shared images and demonstrations of Reed Connect with its sales force.

“McGraw-Hill has admitted accessing our proprietary system, admitted reviewing our data and admitted downloading that data, yet they deny that they did anything wrong with the data,” Iain Melville, CEO of Reed Construction Data, said in a statement. “RCD firmly believes that McGraw-Hill acted inappropriately in obtaining and using RCD’s confidential and proprietary data in an attempt to gain unfair advantage in the marketplace.”

The case is unlikely to go to court until February 2012. McGraw-Hill had not responded to a request for comment by deadline.

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