News & Analysis as of September 20, 2024

Preemption

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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 -

A Guide to Texas Trade Secret Laws

Hicks Johnson on 3/31/2021

What companies need to know as disputes grow larger, more frequent - Given the primacy of technology to the operation of the global economy, it should come as no surprise that jury awards in trade secret disputes are...more

The UTSA and Preemption of Other Claims - A Trade Secret Claim By Any Other Name (Usually) Does Not Smell So Sweet

Holland & Knight LLP on 1/14/2019

In drafting initial pleadings, some litigators assert every cause of action that could possibly fit the facts, so as to protect their clients from every angle. This approach requires extra care when one of the claims arises...more

5th Circuit Provides Guidance On The Scope Of Louisiana Uniform Trade Secrets Act’s Preemption Provision

Seyfarth Shaw LLP on 12/3/2018

It is well known that courts interpreting their respective states’ versions of the Uniform Trade Secret Act (“UTSA”) have not uniformly applied UTSA’s preemption provision....more

Court Of Chancery Enforces Agreement To Waive Corporate Opportunity Claims

Morris James LLP on 6/22/2018

Alarm.Com Holdings Inc. v. ABS Capital Partners Inc., C.A. 2017-0583-JTL (June 15, 2018) - Under 8 Del C. Section 122(17) a corporation may waive any claim that a corporate opportunity was wrongfully taken by a fiduciary....more

Federal Court Dismisses Breach of Fiduciary Duty Claim Because It Was Preempted By The Texas Uniform Trade Secret Act

Winstead PC on 1/8/2018

In Embarcadero Techs., Inc. v. Redgate Software, Inc., four employees left their employer and began working at a new company. No. 1:17-cv-444-RP, 2018 U.S. Dist. LEXIS 1902 (W.D. Tex. January 5, 2018). ...more

Excess Cargo? Shipping Common Law Claims Out of a Trade Secret Complaint

Orrick - Trade Secrets Group on 8/17/2017

AFS, a company specializing in streamlining shipping costs and logistics, had its eight count amended complaint streamlined to only one—its Tennessee Uniform Trade Secrets Act (“TUSTA”) claim—primarily due to preemption and...more

Another Challenge for Information Governance: The Defense of Trade Secrets Act

Moore & Van Allen PLLC on 7/6/2016

Good information governance requires not only protecting the security of sensitive and proprietary information; it often requires pursuing legal action against those who threaten the secrecy and value of a company’s trade...more

Virtual Learning: The Scope of Preemption Under the California Uniform Trade Secrets Act

Orrick - Trade Secrets Group on 2/11/2016

Companies seeking protection under the California Uniform Trade Secrets Act (“CUTSA”) should consider the effects of CUTSA preemption on their litigation strategy. Under the well-known Silvaco Data System v. Intel Corporation...more

Trade Secret Legislation Reintroduced in Congress (3rd Time)

Fisher Phillips on 8/3/2015

Maybe the third time is the charm. After trying twice before, Congress is making another run at creating a federal claim for trade secret misappropriation. A bipartisan group of legislators from both congressional chambers,...more

U.S. Congress To Again Consider Private Right of Action for Trade Secret Misappropriation

Seyfarth Shaw LLP on 7/31/2015

On July 29, 2015, with bipartisan support, congressional leaders in both the House and Senate, including Senator Orrin Hatch (R-UT) and Representative Doug Collins (R-GA), introduced a bill to create a federal private right...more

UPDATE – Uniform Trade Secrets Act Preemption: The Debate Continues… With Possible Implications for Punitive Damages?

Orrick - Trade Secrets Group on 12/1/2014

Just over one year ago, we noted the continued and vibrant debate among state and federal courts over whether the Uniform Trade Secrets Act (“UTSA”) preempts other claims based on the misappropriation of information when that...more

Arizona Supreme Court Limits Preemptive Sweep of Arizona’s Trade Secrets Act

Snell & Wilmer on 11/21/2014

The Arizona Supreme Court decided yesterday in Orca Communications Unlimited v. Noder that Arizona’s version of the Uniform Trade Secrets Act, A.R.S. § 44-401 et seq., does not preempt common law tort claims for...more

Trade Secrets Act Preemption – It’s Still A Mess

Orrick - Trade Secrets Group on 8/23/2013

In 1979, the Uniform Trade Secrets Act (“UTSA”) was published in an attempt to provide a uniform legal framework for improved trade secret protection across all 50 U.S. states. ...more

Recent Federal Court Rulings Reaffirm Broad Supersession of Common Law Claims under California's Uniform Trade Secrets Act

Wilson Sonsini Goodrich & Rosati on 4/16/2013

Last month, two federal district courts reaffirmed that litigants may not plead around California's Uniform Trade Secrets Act (UTSA) by alleging common law tort claims said to protect business information that does not...more

Does The Alabama Trade Secrets Act Limit Remedies For Theft Of Information?

Burr & Forman on 4/10/2013

Alabama enacted the Alabama Trade Secrets Act (the “ATSA”) in 1987. However, since that time, there have been relatively few reported court decisions analyzing the impact of the ATSA on common law claims. A federal district...more

Indiana Joins the Emerging Majority Position on Uniform Trade Secrets Act Preemption of State-Law Tort Claims

Wilson Sonsini Goodrich & Rosati on 9/21/2012

Last month, an Indiana appellate court became the latest court to adopt the majority position on the question of whether the Uniform Trade Secrets Act (UTSA) displaces state-law tort claims said to protect information that is...more

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