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February 20, 1996

AT&T Attempts to Misappropriate Trade Secrets


Highway Master Communications has recently filed suit against AT&T due to AT&T attempting to disclose HMC's trade secrets to competitors.

AT&T assured HMC of both confidentiality and exclusivity in relation to various business deals between the two companies. HMC provided its most valuable secrets to AT&T to be used solely in an effort to enable AT&T to construct and operate a data storage and switching complex for HMC.

Now AT&T intends to offer use of the complex and HMC's secrets to various HMC competitors.

"We have tried in good faith to resolve our differences with AT&T" said Bill Saunders, president of HMC. Saunders also explained that AT&T threatened to cancel contracts and to make HMC's trade secrets available to competitors.

Gordon Quick, HMC's executive vice-president explained that AT&T should be helping [HMC] under the agreement "rather than attempting to use HMC's proprietary technology to establish service relationships with our competitors."

For further information, contact Barb Catlin at Highway Master Corp., (214) 732-2516.