Iowa Film Production Services Mississippi Films, Inc. Polynation Pictures, Inc. Field of Screams, LLC Underground Films, Inc. Ticket Out Productions Tricoast Iowa Productions, LLC Gpx Development, LLC September Productions LLC Lucky Mp, LLC and Recess Film Production, LLC v. Iowa Department of Economic Development
2012 Iowa Sup. LEXIS 85
| Iowa | 2012Background
- Film program created to promote Iowa film production; laws allowed 25% transferable tax credits for eligible projects and required Form Z final budget summaries; filings included confidentiality requests under Iowa Open Records Act sections 22.7 and 22.8; IDED initially planned broad confidentiality, later limited to Form Z Summaries; district court held Form Z Summaries were trade secrets and injunction appropriate; Iowa Supreme Court reverses and remands.
- Applicants registered multiple film projects, completed applications requesting confidentiality for some data, and signed contracts after approval; Form Z contained 46 expense categories and a two-page summary; overall tax credits awarded were publicly known.
- IDED received public-record requests; initial plan to release all budget/investor data was reversed in December 2009 in favor of summaries only; producers sought injunction under Iowa Code 22.8 to prevent disclosure; district court found exemptions applied and granted relief, including costs and fees.
- The Court undertook de novo review of open-records exemptions; concluded Form Z Summaries do not meet 22.7(3) trade secrets or 22.7(6) public-advantage exemptions; also found 22.8 injunctive relief not warranted as disclosure serves a public purpose and harms not shown; reversed district court and remanded for further proceedings.
- Court emphasized public funds involved and right to know how taxpayer money was spent; noted lack of written confidentiality confirmations and integration clauses limiting confidentiality to applications, not post-approval budget data.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Form Z Summaries are trade secrets under 22.7(3). | Producers: summaries are trade secrets;Contain independent economic value and secrecy. | State: no trade-secret protection; records not inherently secret; could be restricted by custodian discretion. | No; summaries fail to show independent economic value or reasonable secrecy under the UTSA framework. |
| Whether Form Z Summaries fall under 22.7(6) public-advantage exemption. | Disclosures would harm competitors and serve no public purpose. | Disclosures serve public interest in knowing use of public funds. | No; public purpose shown and exemptions not satisfied. |
| Whether injunctive relief under 22.8 was appropriate. | Disclosures would cause substantial, irreparable harm; public interest favors confidentiality. | Public records generally in the public interest; no clear irreparable harm shown; district court misapplied law. | Not warranted; balance favored public disclosure. |
| Whether the State, as custodian, had discretion to release after a confidential-request was granted. | IDED promised confidentiality; records were supposed to stay confidential. | Confidential status tied to application; post-approval data not protected. | District court erred in granting blanket confidentiality; no binding promise justified. |
| Whether public funds involvement justified disclosure under public-interest standards. | Tax credits and public funds require accountability; Form Z reveals expenditure categories. | Confidentiality protects industry trust and economic development. | Public funds involved; disclosure supports public oversight and accountability. |
Key Cases Cited
- Hall v. Broadlawns Med. Ctr., 811 N.W.2d 478 (Iowa 2012) (injunction relief denied where public interest outweighed confidentiality concerns)
- Northeast Council on Substance Abuse, Inc. v. Iowa Dep’t of Pub. Health, 513 N.W.2d 757 (Iowa 1994) (public funds require disclosure when public funds involved)
- Craigmont Care Ctr. v. Dep’t of Soc. Servs., 325 N.W.2d 918 (Iowa 1982) (public-interest override of confidentiality where government funds involved)
- United States West Communications v. Office of Consumer Advocate, 498 N.W.2d 711 (Iowa 1993) (UTSA trade-secret analysis; independent economic value and secrecy elements)
- Brown v. Iowa Legislative Council, 490 N.W.2d 551 (Iowa 1992) (application of UTSA secrecy elements in public-records context)
