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Trade Secrets › Misappropriation › Criminal Prosecution

A Trade Secret is any information, not generally known or easily ascertainable, by which an enterprise develops an economic advantage over competitors or customers. In order to maintain trade secrets'... more +
A Trade Secret is any information, not generally known or easily ascertainable, by which an enterprise develops an economic advantage over competitors or customers. In order to maintain trade secrets' protected legal status, enterprises must make reasonable efforts to keep the information secret and prevent unnecessary disclosure.  Trade Secrets may include processes, formulas, methods, designs, patterns, et cetera.   less -
Blank Rome LLP

[Ongoing Program] High Crimes & Misdemeanors: Trade Secrets Litigation & Criminal Enforcement - March 8th, 12:00 pm - 12:30 pm ET

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Join Us for Protecting Trade Secrets & Gaining a Competitive Edge in the Digital Age - Sophisticated Strategies to Protect Critical Assets When Key Employees Depart & Business Relationships Break Down - The protection...more

Orrick - Trade Secrets Group

In a Blockbuster Economic Espionage Act Prosecution, an Attempt by the Government to Hide the Ball?

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An ongoing, headline-grabbing trade secret theft prosecution against a Chinese spy is also quietly presenting a, say, disquieting attempt by prosecutors to stretch the law on what it is required to plead and prove. On the...more

Orrick - Trade Secrets Group

Court Upholds One Year in Prison for Theft of non-Trade Secrets

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A federal district court judge in Chicago sentenced Robert O’Rourke, a former employee of iron bar manufacturer Dura-Bar, to one year and one day in prison last week for stealing trade secrets. Well, not quite. O’Rourke was...more

Orrick - Trade Secrets Group

Huawei Alleges “Selective Prosecution” by the DOJ

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In January of this year, the DOJ indicted the Chinese telecom giant Huawei on counts of theft of trade secrets conspiracy, attempted theft of trade secrets, wire fraud, and obstruction of justice. On August 1, Huawei moved to...more

Holland & Knight LLP

Recent Criminal Misappropriation of Trade Secrets to China

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Trade secrets can be stolen at any point, and such theft can be prosecuted by the Department of Justice. This is evident in recently unsealed charges brought against a software engineer who stole source code from his United...more

Fenwick & West LLP

China at Center of DOJ Initiative to Protect US Companies from Trade Secret Misappropriation

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The U.S. Intellectual Property Enforcement Coordinator submitted its Annual Intellectual Property Report to Congress in February. The report recognizes the economic importance of intellectual property and recommends...more

Seyfarth Shaw LLP

Nursing Assistant’s “Self-Help” Attempt to Bolster Her Discrimination and Wage Claims Backfires in Spectacular Fashion

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As readers of this blog know, most trade secret misappropriation claims are brought in civil complaints—but a recent case out of Pennsylvania reveals how quickly the tables can turn on a civil plaintiff asserting claims...more

Seyfarth Shaw LLP

Update! Salesman Goes on Trial in Chicago for Stealing Company Trade Secrets for a Chinese Competitors

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As noted in our February 20th blog post, Robert O’Rourke, a 30 year salesman for cast iron products manufacturer Dura Bar, went on trial in Chicago (Northern District of Illinois) for allegedly stealing Dura trade secrets...more

The Volkov Law Group

Trade Secret Risks, Criminal Prosecutions and Protecting Trade Secrets

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Businesses understand that their trade secrets are valuable assets. However, businesses fail to understand how vulnerable their trade secrets are to misappropriation and straight-out theft....more

Farella Braun + Martel LLP

3 Trends in Criminal Trade Secret Prosecution

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Criminal trade secret prosecutions are on the rise nationwide and in the Northern District of California, especially cases relating to alleged theft by Chinese nationals and entities. According to a 2017 report by the White...more

Goodwin

Former Genentech Employees Accused of Stealing Biologic Manufacturing Process Trade Secrets

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On October 25, 2018, the U.S. Attorney for the Northern District of California filed an indictment against four individuals (three of whom were former Genentech employees) alleging theft of trade secrets, computer fraud and...more

Holland & Knight LLP

Recent Criminal Prosecutions for Trade Secret Theft

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Theft of trade secrets typically spurs civil actions against the offender, but theft of trade secrets can also be prosecuted criminally under the Economic Espionage Act, 18 U.S.C. § 1831 et seq. (the “Act”) and other related...more

McDonnell Boehnen Hulbert & Berghoff LLP

New York v. Aleynikov -- On Second Thought, New York State's Penal Code (Unlike Federal Criminal Law) Covers Electronic...

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As the saying goes, hard cases make bad law. And it certainly looked improper when Sergey Aleynikov downloaded high-frequency trading ("HFT") source code as he was leaving his job as a Goldman Sachs programmer, at least to...more

Orrick - Trade Secrets Group

The Saga Continues: New York’s Highest Court Will Weigh in on Aleynikov’s Fate

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On April 20, 2017, the New York Court of Appeals issued a brief order continuing former Goldman Sachs programmer Sergey Aleynikov’s eight-year voyage through the state’s and country’s legal systems. Here’s the issue: does...more

Mintz - Intellectual Property Viewpoints

Ninth Circuit Provides Clarification Concerning the Definition of Trade Secret

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On July 5, 2016, in United States v. Nosal, the Ninth Circuit Court of Appeals clarified the definition of “trade secret,” finding that data derived from a compilation of publicly available information can constitute a...more

Proskauer - California Employment Law

California Employment Law Notes - July 2016

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Employer Is Entitled To Recover $4 Million In Attorney's Fees From EEOC - CRST Van Expedited, Inc. v. EEOC, 578 U.S. ___, 136 S. Ct. 1642 (2016) - The EEOC filed suit against CRST (a trucking company) alleging...more

Orrick - Trade Secrets Group

Money Is Time: A Note on Valuation and Sentencing in Criminal Trade Secrets Cases

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Criminal trade secrets prosecutions tend to make national headlines, and for good reason. With fact patterns that often involve international intrigue, high technology, and millions of dollars in play, these cases can read...more

FordHarrison

Confidential Documents Potentially Safer From Employee Misappropriation Says New Jersey's Supreme Court

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On the heels of an appellate decision providing employees a virtual how-to manual to misuse and exploit confidential employer documents and safely provide them to a competitor, New Jersey's Supreme Court reversed course last...more

McDonnell Boehnen Hulbert & Berghoff LLP

Another Aleynikov Trade Secrets Case Ends with Narrower Statute

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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

Orrick - Trade Secrets Group

POTUS Declares Cybercrime a National Emergency, Announces New Penalties for Trade Secrets Theft

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Declaring cybercrime a “national emergency,” President Obama today empowered Treasury to freeze assets that are the fruits of cybercrime, according to an Executive Order issued this afternoon. The agency can block money or...more

Orrick - Trade Secrets Group

Ex-SanDisk Employee Arrested In Japan, Civil Suits Filed In The Wake Of Alleged Flash Memory Trade Secrets Misappropriation

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Technology firms SanDisk and Toshiba recently filed trade secrets lawsuits on opposite sides of the Pacific, each alleging misappropriation by a third party stemming from the two companies’ joint venture....more

Cozen O'Connor

Goldman Ordered to Advance Defense Fees for Former Employee Accused of Stealing Computer Codes

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On October 16, 2013, the U.S. District Court for the District of New Jersey, in Aleynikov v. The Goldman Sachs Group, Inc., found that a former vice president and computer programmer was an “officer” of Goldman Sachs & Co.,...more

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