Criminal Law Science, Computers & Technology Intellectual Property

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500,000 Lines of Source Code: The New “Intangible Property”

Sergey Aleynikov’s six-year trade secret odyssey through all possible configurations of litigation, civil and criminal, federal and state, may at long last have come to an end after the New York Supreme Court recently...more

Another Aleynikov Trade Secrets Case Ends with Narrower Statute

In 2009, Sergey Aleynikov was a computer programmer employed by Goldman Sachs to write high-frequency trading code. He accepted an offer to join a new Chicago-based company, Teza Technologies. Before he left Goldman Sachs,...more

Flash Boy’s Conviction Thrown Out—Again

In a stunning victory for the former Goldman Sachs programmer, New York State Justice Daniel Conviser threw out Sergey Aleynikov’s jury conviction on state law charges that he stole intellectual property from Goldman. Trade...more

Corporate Espionage: Not Your Typical Sports-“Gate”

Generally when one refers to “competitors” in the context of protecting trade secrets, it is in regard to business competitors, not competing sports teams. And usually when the talking heads on sports radio and television...more

Caught Stealing More Than Bases, St. Louis Cardinals Teach Trade Secret Safety to All Employers

The recent hacking attack against the Houston Astros is a wake-up call for all employers: no organization is safe from its adversaries’ attempts to steal proprietary information to gain a leg up in the competition. The...more

Kolon Finally Served With Criminal Summons in Korea, Subsequently Settles for $360 Million

On April 30, 2015, Kolon Industries finally resolved two long-standing disputes regarding its alleged misappropriation of trade secrets related to DuPont Co.’s bullet-proof Kevlar Material.  The settlement resolved a six-year...more

DOJ Guidance for Victims of Cybercrime: The Dos and Do Nots of Cyber Preparedness

On April 29, 2015, the Cybersecurity Unit in the Computer Crime and Intellectual Property Section (CCIPS) of the U.S. Department of Justice released a best practices document (Document) for victims of cyber incidents. The...more

First Foreign Hacker Is Convicted In The United States Of Hacking Crimes Involving Theft Of Trade Secrets From American Companies

A 22-year-old Canadian hacker has been sentenced to federal prison by a Delaware court for engaging in a conspiracy to break into the computer networks of several large gaming companies, to steal trade secret and other...more

Back in a Flash: Sergey “Flash Boy” Aleynikov Returns to Court for New Trial

Sergey Aleynikov’s six-year odyssey through the U.S. judicial systems—both federal and state—continues.  Last week, Aleynikov stepped into a New York State courtroom to defend himself at trial against a pair of criminal...more

NDRC’s Qualcomm Decision Sends Mixed Messages

Chinese New Year celebrations culminated in a big way for foreign multinationals in China with the news at the end of February that the head of the National Development and Reform Commission’s (“NDRC's”) Antitrust Bureau had...more

Chicago Court Hands Out Harsh Sentences for Hedge Fund Trade Secret Theft

Following earlier plea agreements, “Ben” Pu (“Pu”) and Sahil “Sonny” Uppal (“Uppal”) were sentenced today for stealing trade secrets related to high-frequency trading platforms from Chicago-based hedge fund Citadel. In what...more

Nosal Returns to the Ninth Circuit Posing the Question: Is a Password a Sufficient “Technological Access Barrier” Under the CFAA?

Observers following the legal issues surrounding the prosecution of David Nosal will be watching closely in 2015 as the former Korn Ferry executive returns to the Ninth Circuit to appeal his 2013 conviction on three counts of...more

Seeds Worth More than Gold

Plant Breeders are Learning the Value of Protecting Their Inventions - Agricultural espionage: it’s not exactly the stuff of John le Carré novels. But recently a Chinese woman was charged in a plot to steal U.S. corn...more

Your Client is Hacked and Personal Information is Leaked Online – Now What?

You are general counsel to a company, and your CEO steps into your office, clutching his iPhone in one hand and wiping sweat from his brow with the other, and tells you that a compromising photograph of him was stolen from...more

North Carolina Legislators Look to Criminalize Disclosure of Fracking Fluids

As many states and the federal government look towards calling for greater disclosure and regulation of the chemicals used in hydraulic fracturing, state senators in North Carolina appear to be pushing against the tide in...more

TRO LLC – GET IT? Sprung From Prison, Hacker Creates Hedge Fund That Shorts Stocks Of Companies With Security Vulnerabilities

Self-proclaimed Internet troll and hacker Andrew “weev” Auernheimer has big plans now that he’s been sprung from prison. We identified Auernheimer’s imprisonment and appeal as one of the top trade secret stories of...more

Cyber-Symbolism? DOJ Announces First-Of-Its-Kind Prosecution Of State Actors — But Does It Matter?

The U.S. Justice Department has charged members of the Chinese military with allegedly engaging in economic espionage against American companies. It’s the first time that the United States has leveled such charges against...more

"Deliberate Ignorance" Sufficient Mens Rea For Criminal Conviction Under DMCA

As a Circuit judge recently noted in dissent, the Digital Millennium Copyright Act (DMCA) strives to "achieve a balance between strengthening copyright law and preserving consumer rights, promoting technological innovation,...more

Companies Have a Friend in Economic Espionage Act

Earlier this month, Walter Liew, his company, USA Performance Technology, Inc., and Robert Maegerle were found guilty of economic espionage and theft of trade secrets, among other crimes, for participating in a scheme to...more

46 sites blocked, watch your banners!

The Italian tax police seized 46 websites streaming videos in breach of the copyright holders, but is also going after entities “supporting” such sites through banners published on them so starting a new approach in the fight...more

Recent Ruling May Put Dent In Ability of Government to Seize Domain Names

A November 2013 ruling from the United States District Court in a bankruptcy case may create an obstacle for a tactic increasingly popular among federal prosecutors – the seizure of a defendant company’s domain name....more

Great Britain: Internet Providers reject blocking of illegal gambling sites

According to a report by the Financial Times, British internet service providers (ISPs) have rejected an attempt by the Gambling Commission to post warning pages on unlicensed gambling websites, alerting the user that the...more

BREAKING: David Nosal Sentenced To Prison On CFAA Computer Intrusion And Trade Secret Charges

Former Korn/Ferry recruiter David Nosal was sentenced to one year and one day in prison on Wednesday for violating the federal Computer Fraud and Abuse Act and the Economic Espionage Act. In April, a federal jury in...more

Court Requires Employer To Pay Legal Fees Of Ex-Employee Charged With Trade Secret Theft

On October 16, 2013, a federal judge in New Jersey ruled that Goldman Sachs must advance the legal fees of a former employee charged with stealing Goldman’s source code. The order is the latest twist in a case that...more

The “I Was Just Trying To Land A New Job” Defense To Criminal Trade Secret Theft Charges

On February 28, 2008, Hanjuan Jin, a Chinese-born former software engineer for Motorola, arrived at Chicago O’Hare Airport en route to Beijing. During a random customs check, officials discovered that she had a one-way...more

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