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Trading Secrets A Law Blog on Trade Secrets, Non-Competes, and Computer Fraud

Category Archives: International

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Covert Cellular: Enough Protection for Trade Secrets?

Posted in Cybersecurity, Data Theft, Espionage, International, Trade Secrets

With the ever-increasing need to maintain communications with customers and your employees, mobile phones have become a requirement for business people. Spanish telecommunications company Geeksphone is targeting the business market with Blackphone, the first mobile phone that encrypts data transmissions. No one would argue against the value of increased wireless data security, but do CIA-style cellular phones really provide enough …

Recent Decision Affirms Significant Protections for Confidential Information in United Kingdom

Posted in International, Practice & Procedure, Trade Secrets

By Ming Henderson and Razia Begum

With the increasing number of disputes and client queries regarding confidential information in the United Kingdom, the recent case of Personnel Hygiene Services Ltd & ors v. Rentokil Initial UK Ltd , EWCA Civ 29, 29 January 2014, serves as a useful reminder of the extensive protection of confidential information. 

The Court of Appeal, …

Chinese Espionage Latest Target: Liquid Paper

Posted in Espionage, International

Spell check features in word processing programs sent correction fluid the way of the buggy whip. Walter Liew and Robert Maegerle, however, saw a $28 million dollar payout to sell the secrets to, among other things, Liquid Paper. It is doubtful that they can “white out” the bars of their new prison cells, though.

Liew, a California engineering consultant, and …

Trading Secrets – 2013 Year in Review

Posted in Computer Fraud, Computer Fraud and Abuse Act, International, Legislation, Social Media, Trade Secrets

Seyfarth Shaw is pleased to announce the publication of the Trading Secrets 2013 Year in Review. The 2013 Review is a compilation of our significant blog posts from 2013 and is categorized by specific topics such as: Trade Secrets; Computer Fraud and Abuse Act; Non-Competes and Restrictive Covenants; Legislation; International and Social Media. As the specific blog entries, including …

Top 10 Developments/Headlines in Trade Secret, Computer Fraud, and Non-Compete Law in 2013

Posted in Breach of Fiduciary Duty, Computer Fraud, Computer Fraud and Abuse Act, Cybersecurity, Data Theft, Espionage, International, Legislation, Non-Compete Enforceability, Practice & Procedure, Privacy, Restrictive Covenants, Social Media, Trade Secrets, Unfair Competition

By Robert Milligan and Joshua Salinas

As part of our annual tradition, we are pleased to present our discussion of the top 10 developments/headlines in trade secret, computer fraud, and non-compete law for 2013. Please join us for our complimentary webinar on March 6, 2014, at 10:00 a.m. P.S.T., where we will discuss them in greater detail. As with all

Upcoming Webinar: 2013 National Year in Review — What You Need to Know About the Recent Cases/Developments in Trade Secrets, Non-Compete and Computer Fraud Law

Posted in Computer Fraud, Computer Fraud and Abuse Act, Cybersecurity, Espionage, International, Legislation, Non-Compete Enforceability, Practice & Procedure, Social Media, Trade Secrets

On Thursday, March 6, 2014 at 12:00 p.m. Central, Michael Wexler, Jim McNairy and Josh Salinas will present Seyfarth’s first installment of its 2014 Trade Secrets Webinar series. They will review noteworthy cases and other legal developments from across the nation this past year in the areas of trade secret and data theft, non-compete enforceability, computer fraud, and the interplay …

2013 Trade Secrets Webinar Series – Year in Review

Posted in Computer Fraud and Abuse Act, Cybersecurity, International, Legislation, Non-Compete Enforceability, Practice & Procedure, Privacy, Restrictive Covenants, Social Media, Trade Secrets

Throughout 2013, Seyfarth Shaw LLP’s dedicated Trade Secrets, Computer Fraud & Non-Competes Practice Group hosted a series of CLE webinars that addressed significant issues facing clients today in this important and ever changing area of law.

The series consisted of twelve webinars:

1. 2012 National Year in Review: What You Need to Know About the Recent Cases/Developments in Trade Secrets,

Sino Legend Urges U.S. International Trade Commission (ITC) to Consider Parallel Chinese Court Proceeding in Ongoing Trade Secret Litigation Brought by SI Group

Posted in International, Trade Secrets

Bringing to light the fact that US and Chinese forums can reach opposite conclusions on the same trade secret misappropriation allegations, China-based rubber and tire resin manufacturer Sino Legend urged the U.S. International Trade Commission (ITC) to consider a parallel Chinese court proceeding seeking to convince the Commission to overturn an unfavorable initial determination by the Administrative Law Judge (“ALJ”).…

Two Former Eli Lilly Scientists Accused of Stealing $55 Million in Trade Secrets on Behalf of Chinese Pharmaceutical Company In Southern District of Indiana Indictment

Posted in Data Theft, Espionage, International, Trade Secrets

In a year in which the United States has brought and prosecuted a series of high-profile criminal cases under the Economic Espionage Act (“EEA”), another one was recently added to the roll call in the Southern District of Indiana, this time against two former high-level scientists with pharmaceutical giant, Eli Lilly. 

On August 14, 2013, a grand jury in the …

U.S. Counsels Cross-Border Consistency In Criminal Consequences For Trade Secret Theft

Posted in International, Legislation, Trade Secrets

What do the laws of the United States, Peru and Australia have in common when it comes to imposing similar riminal penalties for trade secret misappropriation?  Virtually nothing!

In the U.S., criminal penalties for misappropriating trade secrets range from 10 to 15 years.  In Peru, the maximum criminal sentence for stealing trade secrets is 2 years.  And in Australia, there …

AMSC/Sinovel Industrial Espionage Thriller Takes a Procedural Detour, Threatening U.S. Criminal Prosecution

Posted in Cybersecurity, Data Theft, Espionage, International, Trade Secrets

In a story that Hollywood would love to script, the U.S. Government charged Sinovel and its executives with soliciting the then-head of the Automation Engineering Department of AMSC’s Austrian subsidiary, AMSC Windtec GmbH, to steal AMSC’s source code in order that Sinovel might bypass a commercial relationship with AMSC and utilize AMSC’s trade secrets without paying for ongoing software licenses.  …

A New and Potentially Powerful Weapon Against Foreign Counterfeiters and Pirates

Posted in International, Unfair Competition

Counterfeiting and piracy is estimated to cost the U.S. hundreds of billions of dollars every year.  According to the Business Software Alliance, if the U.S. could reduce piracy by 10 percent in two years, it would add $52 billion in GDP, $8 billion in tax revenue, and create more than 25,000 new jobs. California alone is losing an estimated …

U.S. Senators Propose Legislation To Strengthen Federal Criminal Trade Secret Laws

Posted in Cybersecurity, Data Theft, International, Legislation, Trade Secrets

Senators Sheldon Whitehouse (D-R.I.) and Lindsey Graham (R-S.C.) recently proposed a draft discussion bill to amend the federal Economic Espionage Act and enhance criminal trade secret protections.  

The amendments would expand the Economic Espionage Act to expressly cover trade secret misappropriation sponsored by foreign governments and theft taken at their request, provide victims with additional procedures to protect their trade …

Upcoming Complimentary Webinar: Trade Secret and Non-Compete Considerations in Asia

Posted in International, Practice & Procedure, Restrictive Covenants, Trade Secrets

To accommodate our global audience, Seyfarth’s eighth installment in its 2013 Trade Secrets Webinar Series will be available as an on-demand broadcast this month! On Tuesday, August 27, 2013, Seyfarth attorneys Dominic Hodson, Wan Li, and Robert Milligan will discuss non-compete and trade secret issues in China, including best practices to protect trade secrets and confidential information in the country. …

International Update: Recent Decisions by UK Courts Highlight Protection of Confidential and Proprietary Information in Employment Context — Part II

Posted in International, Trade Secrets

By Peter Talibart, Dan Hart, and Georgina McAdam

In Part I of this post, we focused on the UK Supreme Court’s recent decision in Vestergaard Frandsen and others v. Bestnet Europe Ltd. and others, [2013] UKSC 31.

Although not binding authorities throughout the UK, two other recent decisions from lower courts in England and Wales are also …

International Update: Recent Decisions by UK Courts Highlight Protection of Confidential and Proprietary Information in Employment Context — Part I

Posted in International, Non-Compete Enforceability, Trade Secrets

By Peter Talibart, Dan Hart, and Georgina McAdam

As many employers have experienced, guarding against misuse of confidential and proprietary information by former employees can be a challenge in an increasingly digitalized and globalized marketplace.  For companies with operations in the United Kingdom, recent court decisions provide some helpful guidance on protecting confidential and proprietary information in the …