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Trade Secrets › State and Local Government

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 -
Troutman Pepper

New York Narrows the Scope of Employee “Invention Assignment” Provisions

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On September 15, New York enacted Labor Law Section 203-f, limiting the enforceability of invention assignment provisions in employment agreements. Under the new law, employers do not have rights to any employee inventions...more

Faegre Drinker Biddle & Reath LLP

DC Finally Prunes its Ban on Non-Competes

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When initially enacted in January 2021, the District of Columbia’s Ban on Non-Compete Agreements Amendment Act was one of the broadest non-compete prohibitions in the country.  Its effective date, however, was delayed on...more

Foley Hoag LLP

Growing Consensus that Trade Secret Claims Must Be Pleaded with Particularity in New York and Elsewhere

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Under conventional pleading standards, courts generally allowed plaintiffs to describe their trade secrets with a level of generality when filing a complaint in a trade secret case. It often sufficed for plaintiffs to provide...more

Faegre Drinker Biddle & Reath LLP

Third Circuit Rejects Employer’s Attempt to Block Executive’s Move to Rival Despite Non-Compete Agreement

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As we have written about previously, an increasing number of states, and Washington, D.C., have limited the circumstances under which employers can bind their employees to non-compete and similar agreements, particularly when...more

Faegre Drinker Biddle & Reath LLP

Washington, D.C.’s Non-Compete Ban Delayed Again

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The Washington, D.C. Ban on Non-Compete Agreements Act of 2020 (D.C. Act) is on hold once again, this time due to emergency legislation signed by Mayor Muriel Bowser earlier this week.  The new legislation pushes the D.C....more

Faegre Drinker Biddle & Reath LLP

Several States are Increasing Penalties for Enforcing Non-Compete Agreements

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As non-competition laws and the scrutiny of non-compete agreements continue to be in the spotlight, several states are revisiting their non-compete laws. Colorado has been in the spotlight after the Colorado Legislature...more

Holland & Knight LLP

Relying on NDAs in Trade Secret Cases: Can Information be Confidential but not a Trade Secret?

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A Georgia jury recently found that a software contractor breached a non-disclosure/confidentiality agreement (NDA) entered in connection with a software project but did not misappropriate trade secrets. The plaintiff...more

Sheppard Mullin Richter & Hampton LLP

Illinois Governor Signs Non-Compete Legislation

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On August 13, 2021, Governor Pritzker signed into law a bill amending the Illinois Freedom to Work Act governing restrictive covenants and non-competition agreements. On May 30, 2021, the Illinois General Assembly passed a...more

Foley Hoag LLP

President Biden Takes First Step to Limit NonCompete Agreements Nationally

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President Biden promised during his campaign that if elected he would take federal action against non-competition agreements. On July 9, 2021, Biden issued a broad executive order aimed at making good on that promise. He...more

Holland & Knight LLP

How Will President's New Executive Order on Non-Compete Agreements Affect Employers?

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President Joe Biden on July 9, 2021, issued a wide-ranging Executive Order intended to promote competition in the American economy. Among other things, it encourages the Federal Trade Commission (FTC) to ban or limit...more

Sheppard Mullin Richter & Hampton LLP

What Employers Need to Know About New Non-Compete Legislation in Illinois

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Following a nationwide trend, Illinois has proposed significant legislation affecting employee restrictive covenants, such as non-compete agreements. While the proposed law does not dramatically change most aspects of the...more

Fenwick & West LLP

Proposed Changes to the Use of Non-Compete Agreements in New York

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The Trade Secrets Committee of the New York City Bar recently published a report proposing that New York State enact a statute to regulate the use of non-compete agreements. The committee had become increasingly concerned...more

Sheppard Mullin Richter & Hampton LLP

A “Culture Of Concealment” – Scrutinizing Overbroad NDAs

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Courts are increasingly scrutinizing agreements that extend beyond what is necessary to protect bona fide confidential information and trade secrets. The recent decision in Hamilton v. Juul Labs, Inc., Case No....more

Sheppard Mullin Richter & Hampton LLP

Illinois Appellate Court Upholds Sanctions Against Radio Advertiser For Bad Faith Trade Secrets Claims

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The recent case of Multimedia Sales & Marketing, Inc. v. Marzullo, et al., — N.E.3d —-, 2020 IL App (1st) 191790 (1st Dist. Dec. 21, 2020), demonstrates the peril that attorney fees sanctions present for litigants who bring...more

Faegre Drinker Biddle & Reath LLP

Top 3 Employee Mobility and Restrictive Covenant Issues to Watch For in 2021

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With 2020 finally in our rearview mirror, we can begin to look ahead to a promising and prosperous 2021. As the cloud of COVID-19 starts to lift (thanks to several vaccines), we expect employers will slowly begin to reopen...more

Best Best & Krieger LLP

California Public Records Act Update

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New CPRA Case Law and Legislation for 2021 - While an expansive array of records can be sought via a California Public Records Act request, the right to inspect public records is not without limits. The CPRA does not give...more

Sheppard Mullin Richter & Hampton LLP

California Court Strikes Down Overbroad Confidentiality Agreement as a de facto Non-Compete

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Trade secrets and other proprietary information can be among a business’ most valuable assets and drive its competitive advantage. It is therefore ordinarily critical that employees be bound by an enforceable agreement that...more

Sheppard Mullin Richter & Hampton LLP

Trade Secret Takeaways from the Ninth Circuit’s Decision in InteliClear, LLC v. ETC Global Holdings, Inc.

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Courts often require a plaintiff to identify a trade secret with reasonable particularity before commencing discovery (and it is a statutory obligation in California). But frequently a trade-secret plaintiff does not know...more

Holland & Knight LLP

Texas Trade Secret Case Reminds of Risk Associated with Not Supplementing Rule 26 Disclosures

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ResMan LLC (ResMan) sued Karya Property Management LLC (Karya) and Scarlet Infotech Inc. d/b/a/ Expedien Inc. (Expedien), in federal court in Texas alleging misuse of the "ResMan Platform," a property management software...more

Sheppard Mullin Richter & Hampton LLP

As A Reminder That California Has Rejected The Doctrine Of Inevitable Disclosure, Court of Appeal Rules Knowledge Of Former...

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Grounded in California’s recognized hostility against restraints on competition, a recently published opinion from the California Court of Appeal, Hooked Media Grp., Inc. v. Apple Inc., held that to establish trade secret...more

Sheppard Mullin Richter & Hampton LLP

Ixchel v. Biogen: California B2B Noncompetes Do Not Per Se Violate B&P Section 16600, and Are Instead Subject to Rule of Reason

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Business-to-business contracts often concern trade secrets. Contracts such as NDAs, joint development agreements, license agreements, vendor agreements, and other commercial agreements commonly contain restrictive covenants...more

Seyfarth Shaw LLP

Maine Considers Trade Secret Protection for Cannabis Companies

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Maine is on track to launch its first recreational marijuana businesses in June, four years after its residents voted in favor of legalization. A year ago, Maine created an Office of Marijuana Policy (OMP) within its...more

Seyfarth Shaw LLP

The Week in Weed: February 2020 #2

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Welcome back to The Week in Weed, your Friday look at what’s happening in the world of legalized marijuana. It was a busy week for the states, as Virginia moved towards decriminalization.  The state House and Senate passed...more

Seyfarth Shaw LLP

Survival by the Thinnest Margins: Potential Trade Secret Claims Post-Texas TCPA Amendments

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Effective on September 1, 2019, the 86th Texas Legislature’s amendments to the Texas Citizen’s Participation Act, Texas Civil Practices and Remedies Code Chapter 27 (“TCPA”) essentially removed the vast majority trade secret...more

Seyfarth Shaw LLP

A Little Knowledge Is a Dangerous Thing: Beware the Statute of Limitations in Trade Secrets Misappropriation Cases

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Seyfarth Synopsis: Knowledge that a competitor or former employee is misappropriating trade secrets is difficult to come by. At the same time, however, once a company has notice that misappropriation may be occurring, the...more

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