IP Law Daily, COPYRIGHT—11th Cir.: Individual can't claim IP protection for hospital pitch, (Aug 16, 2024)

By Steven Melendez

The Eleventh Circuit ruled a Georgia man didn't show he's entitled to copyright or trade secret protection for a proposal to bring a hospital to his town.

The Eleventh Circuit Court of Appeals ruled a Georgia resident, Jesse Regalado, didn't state a proper claim for copyright or trade secret misappropriation against a health care provider that allegedly purloined a proposal the individual made to city officials to bring a hospital to his town (Regalado v. Atrium Health, No. 24-10228 (11th Cir. Aug. 14, 2024)).

After Regalado took ill in 2021, and had to travel to a neighboring county to visit a hospital, he began investigating what it would take to build a hospital in his hometown of Trion, Georgia. New hospitals in the state require a "certificate of need," but he discovered such certificates were issued during the "Spanish flu" pandemic of the late 1910s, and suggested to the then-mayor that the town could get one based on the Covid-19 pandemic, according to the ruling in the case.

He sent a Google Slides presentation to the mayor, then shared it with a newly elected mayor and a county commissioner in early 2022, and heard that it was shared with other local officials. Then, in August of that year, he saw a billboard advertising that Atrium Health planned to build a 24-hour emergency care facility in Trion. Acting pro se, Regalado sued Atrium Health claiming copyright infringement, trade secret misappropriation, conversion, and filing of a false document, believing the hospital network "had wrongfully obtained his plans from Chattooga County officials," according to the ruling.

A federal district court dismissed his case and denied a motion to reconsider. The appellate court affirmed that he failed to state a valid claim. His copyright infringement claim failed because he failed to register the copyright as is required before filing suit. He claimed that wasn't necessary because he put a copyright symbol on his slide presentation, but the Eleventh Circuit panel ruled that's not sufficient to bring suit.

"Although Mr. Regalado is correct that registration is not required for protection to attach, registration is required to bring a lawsuit for copyright infringement," the court ruled.

The court also found his trade secret claim was appropriately dismissed. Regalado didn't allege that he took steps to keep his presentation secret, like asking officials not to share it with anyone, according to the ruling. "Indeed, anyone with access to the Google Slides could access them," according to the ruling. "He also did not allege that the Google Slides were marked confidential."

The appellate court also found the district court didn't abuse its discretion in denying a request to reconsider its ruling or in denying a request for recusal. "Nothing in the record supports Mr. Regalado’s claims of bias, impartiality, or mistreatment," according to the ruling.

The Case is No. 24-10228.

Judge: Per curiam.

Attorneys: Jesse Regalado (Jesse Regalado Attorney at Law) for Jesse Regalado. Jason B. Sanker (McRae Smith Peek Harman & Monroe, LLP) for Atrium Health.

Companies: Atrium Health

Cases: Copyright TradeSecrets AlabamaNews FloridaNews GeorgiaNews