Misappropriation Confidential Information

News & Analysis as of

Trade Secrets: Changes In The Law On Protection Of Trade Secrets In The United States And European Union

Concerns about trade secret theft have been increasing in both the United States and Europe in recent years. Traditionally, American law disfavored trade secret protection vis à vis patenting on the basis that publication of...more

Defend Trade Secrets Act – What Employers Need to Know

On May 11, 2016, President Obama signed the Defend Trade Secrets Act of 2016 (the “DTSA” or the “Act”) into law. Prior to enactment of the DTSA, the law governing trade secrets was left to the states, most of which have...more

A Rose by Any Other Name is Not as Sweet: When a Non-Solicit is Actually a Non-Compete

The Ontario Court of Appeal has held that the words “accept business”, in what the employer intended to be a non-solicitation clause, served to restrict competition and is therefore not merely a non-solicitation...more

Texas Appellate Court Affirms Injunctive Relief and $2.8 Million Award in Attorney’s Fees Against Former Employee in Trade Secret...

A Texas Court of Appeals held on August 22, 2016, that a former employer was entitled to $2.8 million in attorney’s fees against a former employee who used the employer’s information to compete against it. The Court reached...more

Attention, Businesses! Federal Law Provides New Tools for Protecting Your Trade Secrets

Your business’s formula for success may not be akin to a recipe for a secret sauce. But it is likely that you do not want to share with your direct competitors the unique business methods you have developed over time or your...more

Industrial Espionage and the Defend Trade Secrets Act

American corporations are facing an ever increasing threat of misappropriation of their valuable trade secrets through industrial espionage, defined as the theft of a company’s trade secrets by an actor intending to convert...more

August 2016: Seizures as a Remedy Under the New Federal Trade Secrets Act

On May 11, 2016, President Obama signed the Defend Trade Secrets Act (DTSA), creating a new federal cause of action for the misappropriation of trade secrets. Prior to the DTSA, trade secret claims were governed by state law....more

Court Dismisses Case Filed Under the Defend Trade Secrets Act

Earlier this year, we notified you about the passage of the Defend Trade Secrets Act of 2016 (DTSA) and how it affects employers. On August 8, 2016, a U. S. District Judge in the Southern District of Florida dismissed one of...more

Did You Know Whistleblowers Can Divulge Trade Secrets?

The prevalence of employees identifying themselves as “whistleblowers” has expanded in recent years due to expansion of federal and state whistleblower rights. Recently, a recently enacted federal law, the Defend Trade...more

Tough stance on confidential information: search and destroy ordered

The court ordered, on an interim application, that the claimants’ confidential information be searched for and destroyed on the defendants’ computers. In an area of law where there was previously no direct authority, Arthur J...more

Federal Precedents Under the DTSA Have Arrived

While the Defend Trade Secrets Act of 2016 (“DTSA”) has only been in effect for a few months, the first wave of cases raising DTSA claims have started to generate federal decisions. In what appears to be the first substantive...more

Ninth Circuit Vastly Expands Scope of Criminal, Civil Liability for Computer Fraud

In a pair of highly anticipated decisions, the Ninth Circuit significantly reshaped criminal and civil liability under the federal Computer Fraud and Abuse Act (CFAA). The court’s recent decisions in United States v. Nosal...more

How to Prepare for Theft of Company Information

Companies should take three steps now to ensure use of the Defend Trade Secrets Act. In May, President Barack Obama signed into law the Defend Trade Secrets Act that creates a federal civil cause of action for the...more

Early Returns (Part 3 of 3): California Federal Court First to Rule Under New Defend Trade Secrets Act of 2016

Here at TSW, we continue to watch closely the case law developing under the new Defend Trade Secrets Act of 2016 (DTSA), which attempts to harmonize divergent state laws by creating a single federal framework for trade...more

Keep Quiet and Carry On under the EU Trade Secrets Directive

Much as the recent U.S. Defend Trade Secrets Act establishes uniform federal trade secrets protections across the states, the EU Trade Secrets Directive (the “Directive”) harmonizes similar protections across its Member...more

Unprecedented High Court Decision Orders the Destruction of Confidential Information on the Defendants’ Computers

The High Court in Arthur J. Gallagher Services (UK) Limited and others v Skriptchenkov and others [2016] EWHC 603, granted 11 February a mandatory injunction ordering the inspection and imaging of electronic devices and...more

The New Defend Trade Secrets Act: Implications For Employers

With the enactment of the federal Defend Trade Secrets Act of 2016 (DTSA), owners of trade secrets now have the ability to bring a cause of action for misappropriation of trade secrets in federal court. Previously, employers...more

Attention Employers: Action Required Before Having Employees or Contractors Sign Non-Disclosure Agreements

In May, President Obama signed the federal Defend Trade Secrets Act of 2016 into law, the details of which we reported in a recent Akerman Practice Update. The Act allows companies for the first time to bring trade secret...more

Texas Supreme Court: Company Representative May Be Excluded from Trade Secret Hearing

In a clash between two major oil companies, the Texas Supreme Court ruled May 20, 2016 that the recently enacted Texas Uniform Trade Secrets Act (“TUTSA”) allows the trial court discretion to exclude a company representative...more

State Supreme Court Protects Trade Secrets from Disclosure in Litigation

The Supreme Court of Texas recently ruled that a trial court erred in a hearing on a misappropriation of trade secrets claim. The lower court had summarily refused the plaintiff's request to exclude the designated corporate...more

Wine, Steak, and Massage Parlors Are Personal Benefits for Insider Trading

On May 26, 2016, the U.S. Court of Appeals for the First Circuit held that friends’ gifts of wine, steak dinners, and other luxury items can constitute the types of personal benefit needed to establish a breach of duty in...more

Can You Keep A Secret? The European Union’s New Directive on Trade Secrets and its Impacts on Whistleblowers

It is no secret that the European Union’s (“EU”) Directive on Trade Secrets was a long time in the making. The Directive was first proposed in November 2013. After roughly two years of debate and revision, the revised...more

New EU Trade Secrets Directive Formally Adopted

The new EU Trade Secrets Directive aims to harmonise the protection of trade secrets across all EU Member States. The reform seeks to give businesses greater confidence in sharing trade secrets across multiple Member States...more

Federal Defend Trade Secrets Act Takes Effect

Employers Should Immediately Revise Confidentiality Agreements to Comply - The Defend Trade Secrets Act, signed into law by President Obama last week and effective immediately, provides a new federal remedy for trade...more

Obama Signs Law Giving Trade Secrets Federal Protection

A company’s confidential trade secrets are their most coveted assets and give a company a competitive edge over its competitors. Such trade secrets may include product specifications and formulas, recipes, computer...more

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