Marketplace®

Daily business news and economic stories

FOIA as business strategy

The Freedom of Information Act turns 40 today. It was intended as a tool for journalists to keep government honest — but businesses use it more than anyone. Jeff Tyler reports.

TEXT OF STORY

MARK AUSTIN THOMAS: Today marks the 40th anniversary of the Freedom of Information Act. That act was originally designed to be a tool for journalists to keep government honest. But as Marketplace’s Jeff Tyler reports, some companies had other ideas.


JEFF TYLER: Each year Americans file more than one million requests using the Freedom of Information Act, or FOIA.

Michael Doyle is a McClatchy newspaper reporter who combed through government logs to find out exactly who files all those requests.

He discovered that journalists only accounted for about one percent. Most came from . . .

MICHAEL DOYLE:“Business, people that have a financial incentive to find out information held by the government.”

For example, pharmaceutical companies may use FOIA to track a competitor’s drug application.

Timber companies often study internal government documents for tips on how logging decisions get made.

Doyle says just keeping up with requests is costly.

DOYLE:“Tens and tens of millions of dollars are spent by the federal government processing these claims every year.”

Millions more are made in the private sector by law firms. They file Freedom of Information Act requests of behalf of corporate clients who prefer their identities remain confidential.

I’m Jeff Tyler for Marketplace.

Latest Episodes

View All Shows
  • Marketplace
    19 hours ago
    25:17
  • Make Me Smart
    19 hours ago
    28:36
  • Marketplace Morning Report
    a day ago
    8:33
  • Marketplace Tech
    a day ago
    10:26
  • Million Bazillion
    4 days ago
    32:45
  • This Is Uncomfortable
    3 months ago
    35:26