Discoverable falsity is immaterial to sophisticated consumers

Reed Const. Data Inc. v. McGraw-Hill Companies, Inc., 638
Fed.Appx. 43 (10th Cir. 2016)

Allegedly false claims about the quality of construction
project data offered by these competitors were, even if false, not material to
consumers, because the consumers were sophisticated.  “Discovery revealed only one customer who
arguably relied upon McGraw–Hill’s advertising in deciding between Reed and
McGraw–Hill, while numerous other customers testified that they discounted the
companies’ representations as to their own products and conducted independent
evaluations.”  Even though McGraw-Hill’s
marketing professionals “professed great enthusiasm for the advertising
campaign at issue, the evidence from consumers makes clear that the market of
sophisticated consumers relying largely on face-to-face sales was unmoved.”  Thus, no reasonable jury could have found
materiality.

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