CCH Takes Action To Stop Bar Association From Using, Selling Data Lifted From CCH’s Electronic Library

Legal Information Provider Says Attorney Group Gained Unauthorized Access
to its Library via NASD Portal, Violated Numerous Federal Laws

(RIVERWOODS, ILL., November 29, 2001) – CCH INCORPORATED (CCH), a leading provider of legal information, software and services, today filed a counterclaim in federal court against the Public Investors Arbitration Bar Association (PIABA) to prevent the association from using the proprietary and copyrighted electronic information SAC-CCH Awards Library. CCH is seeking damages and injunctive relief against PIABA, which the company says appropriated the material through the National Association of Securities Dealers (NASD) Internet portal and plans to sell the information to PIABA members. The Securities Arbitration Commentator, Inc. (SAC), Maplewood, NJ, which created the original content from which CCH developed its proprietary electronic library, joined CCH in filing the counterclaim.

The counterclaim includes numerous counts against PIABA, including unauthorized access to proprietary computer systems, copyright infringement and unauthorized taking of data.

CCH recently discovered that PIABA had systematically extracted from the NASD portal and duplicated for its own commercial use the SAC-CCH Awards Library, an electronic collection of more than 26,000 arbitration award documents and other information representing over 12 years of work by SAC. The Library, licensed by the NASD from CCH and SAC, is now available to NASD members and the public through NASD for free.

"PIABA’s actions demonstrate a complete disregard for the law and its own charter to protect and assist public investors and support its membership in doing so," said Peter Berkery, associate publisher, CCH Business and Finance Group. "They have taken intellectual property developed, enhanced and maintained for more than a decade by SAC and CCH and licensed by the NASD. They seem to believe that selling the lifted materials back to their own members, who can pass the cost on to their clients, is for the good of those public investors."

CCH became aware of PIABA’s actions and resale intentions in October. Acting in good faith, CCH attempted to discuss the issue with PIABA and negotiate a fair and reasonable resolution. PIABA responded by filing a complaint seeking a declaratory judgment in the U.S. District Court of New Jersey.

About CCH INCORPORATED

CCH is a leading provider of tax and securities law information to attorneys, companies, courts, associations, accountants and consumers. For more than 85 years, the company has tracked, reported, explained and analyzed federal securities, financial services and Blue Sky laws that protect investors and ensure securities professionals are in compliance with the law. Subscribers to the company’s information research products have long trusted the company to provide them with organized, accurate and authoritative explanatory information and current and archived public information and documents.

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