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Cleveland Clinic’s Trade Secrets Unprotected

Friday, January 25, 2008 at 5:05 PM

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State officials have ruled the Cleveland Clinic Foundation must reveal what it considers to be trade secrets in a dispute with the City of Beachwood. ideastream’s Tasha Flournoy has more.

The Clinic won’t have to turn over such things as executives’ yearly travel receipts. But, the hospital system may have to reveal its tax records.  That’s according to a ruling by the Ohio Board of Tax Appeals.

In Friday’s decision, the board said such so-called “trade secrets” are unprotected, in effect moving the case closer to trial. At issue: Whether or not the Clinic’s Beachwood health center and others in the region should remain tax exempt.

Beachwood school officials say they depend on property tax money to operate. That’s why schools treasurer Michelle Mills says the state should recognize that the Clinic doesn’t provide the kind of care that would qualify for tax exemption.

Michelle Mills: We don’t feel that particular facility in our community actually meets the definition of tax exempt. We felt there was limited or no charity care.

As the case progresses, attorneys for Beachwood and The Clinic will need to negotiate what documents will remain confidential. 

Tasha Flournoy, 90.3.

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Health, Courts/Crime - Fire/Law Enforcement

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