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segment of the W&H masterfile.
W&H as lessor rented petitioner names at rates that were
common in the list rental market. A typical rate was $60 per
thousand names.
The Contract did not require W&H to, and W&H did not, notify
petitioner before renting parts of the W&H masterfile including
petitioner’s names to third parties. Pursuant to the Contract,
W&H retained all rights to approve a mailing sample of what would
be mailed by the third parties renting parts of W&H’s masterfile.
W&H also retained all rights to control the mailing dates when
these third parties using parts of W&H’s masterfile would make
their mailings to the rented list names.
During the term of the Contract, some of petitioner’s
directors and staff became aware that W&H was exchanging
petitioner housefile names for other names, and then charging
petitioner full regular rental rates for the use of the other
names. Some of petitioner’s directors and staff also became
aware that other W&H clients, including certain nonprofit cancer
organizations, were mailing fundraising packages similar to
petitioner’s. They were further aware that W&H possibly could be
renting or otherwise providing petitioner housefile names to the
W&H clients that were mailing fundraising packages which were
similar to petitioner’s. In fact, W&H did so use petitioner’s
housefiles and did mail similar sweepstakes packages for
petitioner’s “competitors”. Petitioner did not try to have W&H
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