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

Category Archives: Trade Secrets

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Protecting Confidential Information and Client Relationships in the Financial Services Industry Webinar

Posted in Practice & Procedure, Restrictive Covenants, Trade Secrets

Please join us for a complimentary webinar entitled Protecting Confidential Information and Client Relationships in the Financial Services Industry on May 23rd at 12:00 p.m. – 1:00 p.m. c.s.t. The fourth webinar of the 2012 series will focus on trade secret and client relationship considerations in the banking and finance industry, with a particular focus on a… Continue Reading

Seyfarth Attorneys Lead Trade Secrets and Cybersecurity Program

Posted in Computer Fraud and Abuse Act, Data Theft, Espionage, Practice & Procedure, Trade Secrets

California partners Robert Milligan and Jim McNairy will be presenting at a day long Bridgeport Trade Secret and Cybersecurity Program in Los Angeles on May 17th. Trade secret litigation and employee mobility cases are the hottest areas of intellectual property and employment litigation. More and more senior level executives and employees are leaving one company to… Continue Reading

New York State Court Rejects Double Jeopardy Argument In Data Theft Case

Posted in Data Theft, Espionage, Trade Secrets

We have previously written about Sergey Aleynikov, a former computer programmer for an investment bank who beat federal charges of trade secret theft under the Economic Espionage Act in 2012.  Although Aleynikov was initially convicted of these charges, the Second Circuit Court of Appeals overturned his conviction, finding that the trade secrets relating to the… Continue Reading

Is Your Company’s Customer List Still A Trade Secret If Your Company Uses Labeled Delivery Trucks?

Posted in Practice & Procedure, Trade Secrets

Does using a labeled truck identifying your company to deliver products to your clients make your client list publicly available? Will doing so undermine protecting your client list as a trade secret?  Last month, the defendant in a case before a federal district judge in California tried to make that argument, and while the case was decided on other… Continue Reading

Seyfarth Attorneys to Present at 2013 ITechLaw World Technology Law Conference & Annual Meeting

Posted in Privacy, Trade Secrets

On Thursday, May 2, 2013, Seyfarth partner Robert Milligan will participate in a panel at this year’s ITechLaw World Technology Law Conference & Annual Meeting to discuss the hot new field of “Big Data” and the incumbent privacy issues. Big Data involves the management and analysis of increasingly large and complex amounts of data. The… Continue Reading

Corporate Recruiter Convicted of Computer Fraud and Trade Secret Theft By San Francisco Jury

Posted in Computer Fraud and Abuse Act, Data Theft, Trade Secrets

By Robert Milligan and Joshua Salinas A California federal jury convicted a San Francisco executive recruiter this week for violations of the Computer Fraud and Abuse Act (“CFAA”) and theft of trade secrets from his former employer. The conviction represents a significant landmark in the closely watched eight-year case that deepened a federal circuit court… Continue Reading

Illinois Federal Court Issues Preliminary Injunction Prohibiting Use Of Misappropriated Trade Secrets But Rejects Request For Expanded Injunction Based On Alleged “Inevitable Disclosure”

Posted in Non-Compete Enforceability, Practice & Procedure, Restrictive Covenants, Trade Secrets

A recent Illinois trade secrets and non-compete decision involving a 3D printing salesman serves as a reminder that some Illinois courts will scrutinze overly broad non-compete provisions and may limit injunctive relief to the territory that the employee actually serviced for their former employer. Fisher/Unitech, Inc. v. Computer Aided Technology, Inc., Case No. 13 C 2090 (N.D.Ill., 4/9/13)…. Continue Reading

Upcoming Webinar: Protecting Confidential Information and Client Relationships in the Financial Services Industry

Posted in Practice & Procedure, Restrictive Covenants, Trade Secrets

In Seyfarth’s fifth installment in its series of 2013 Trade Secret Webinars, on Thursday May 23, 2013 at 12:00 p.m. Central Time, Seyfarth attorneys Scott Humphrey, Daniel Lanciloti, and Jason Stiehl will focus on trade secret and client relationship considerations in the banking and finance industry, with a particular focus on a firm’s relationship with… Continue Reading

California Court Tosses Idea Theft Suit Over LOST Television Show Out to Sea

Posted in Practice & Procedure, Trade Secrets, Unfair Competition

By Michael Baniak and Puya Partow-Navid Arthur Quiller-Couch formulated seven basic plots for a conflict.  Following his formula, every movie and television show can be narrowed down to one of seven basic plots.  Although the number of plots may be limited, there are inifinite ways to tell a story.  In a town like Hollywood, where everyone… Continue Reading

Employee Data Theft and Corporate Hacking Studies Point to Need for Additional Federal Trade Secrets Legislation

Posted in Computer Fraud and Abuse Act, Data Theft, Espionage, Legislation, Trade Secrets

By Robert Milligan and Jessica Mendelson Today is the deadline for public comments requested by the Obama Adminstration on any proposed changes to federal law to combat trade secret theft.  Some legal commentators have proposed several suggested changes to improve America’s trade secrets laws, including creating a federal civil cause of action for trade secrets misappropriation and clarifying that the Economic… Continue Reading

Obama Administration’s Request for Public Comment on Trade Secrets Law Underscores Importance for Companies to Protect Their Proprietary Assets Now

Posted in Computer Fraud and Abuse Act, Data Theft, Espionage, Legislation, Trade Secrets

Trade secrets and cybersecurity are on the national agenda. Responsible corporate leaders are closely following the issue and must be concerned about the adequacy of their protections and the fallout should there be a breach. “There are only two categories of companies affected by trade secret theft: those that know they’ve been compromised and those… Continue Reading

The Computer Fraud and Abuse Act and Disloyal Employees: A Narrow Bridge To Nowhere?

Posted in Computer Fraud, Computer Fraud and Abuse Act, Data Theft, Trade Secrets

By Gary Glaser and Jacob Oslick An old folk melody describes the world as “a very narrow bridge,” where one misstep can bring disaster. The song seeks to inspire, calling on people to have “no fear at all” while crossing through life’s perils. However inspiring this song might be, some metaphorical bridges just aren’t worth… Continue Reading

If a Company in China Steals Your Trade Secrets, Do You Have to Litigate Your Lawsuit in China? Maybe…

Posted in Data Theft, Trade Secrets

The theft of trade secrets by foreign companies, especially those in China, from American companies is a hot topic among lawmakers and in the press. A recent opinion from the Fifth Circuit Court of Appeals dealt a blow to the ability of American companies to bring lawsuits in the United States for trade secret theft  in… Continue Reading

Court Issues Decision in Eagle v. Morgan: Employee Owns LinkedIn Account But Fails To Recover Any Damages Against Former Employer

Posted in Social Media, Trade Secrets

By Jessica Mendelson and Robert Milligan The ownership of social media accounts in the employment context remains a very hot topic. We’ve previously blogged about the the case of Eagle v. Morgan, Case No. 11-4303, E.D.Pa.. The case went to trial in November 2012, and the court has recently issued its trial order, finding that… Continue Reading

Upcoming Webinar: How the America Invents Act Increases the Importance of Trade Secrets

Posted in Practice & Procedure, Trade Secrets

In Seyfarth’s fourth installment of its 2013 Trade Secrets Webinar series, on Tuesday, April 16, 2013, at 12:00 p.m. Central Standard Time, Seyfarth attorneys Jim McNairy, Michael Baniak, and Joseph Walker will address how the America Invents Act impacts the value of trade secret and patent protection, and what the implications may be for technology… Continue Reading

Growing California Trade Secret Preemption Doctrine May Thwart Efforts To Combat Employee Data Theft

Posted in Data Theft, Practice & Procedure, Trade Secrets, Unfair Competition

By Robert B. Milligan, Jessica Mendelson, and Daniel Joshua Salinas Company information that is sensitive, but may not rise to the level of a trade secret is protectable in California, isn’t it? Not necessarily. Some recent California decisions have significantly limited an employer’s ability to pursue certain claims and remedies based upon the theft of… Continue Reading

Obama Administration Calls for Public Comments on Legislative Changes to Enhance Enforcement Against Trade Secret Theft and Economic Espionage

Posted in Computer Fraud and Abuse Act, Data Theft, Espionage, Legislation, Trade Secrets

By Robert Milligan and Joshua Salinas Last week, the Office of the U.S. Intellectual Property Enforcement Coordinator published a Notice in the Federal Register soliciting public comments for an Administration legislative review related to economic espionage and trade secret theft. The request specifically seeks written submissions from the public regarding “any recommendations for legislative changes that… Continue Reading

Protecting Company Information When Employees Bail: California Alternatives to Employee Non-Compete Agreements

Posted in Non-Compete Enforceability, Practice & Procedure, Trade Secrets

By Robert B. Milligan, Jessica Mendelson, and Joshua Salinas How does a California employer prevent its business from walking out the door along with a departing employee? In most jurisdictions, the employer could have the employees sign a non-compete agreement. Not in California. One of the notorious employment laws that separates California from other states… Continue Reading

Seyfarth Attorney Meets With IP Leaders In Washington, D.C.

Posted in Computer Fraud and Abuse Act, Data Theft, Legislation, Trade Secrets

I will be part of the State Bar of California Intellectual Property Section’s annual Washington D.C. delegation this week. Our delegation is scheduled to meet with leaders of the Patent and Trademark office, Copyright Office, International Trade Commission, and the House Judiciary. We are also planning on meeting with IP Czar Victoria Espinel, Representative Zoe… Continue Reading

Trouble in Paradise? Trade Secret Theft Alleged in Hawaii Surrounding Zipline Technology

Posted in Practice & Procedure, Trade Secrets

By Robert Milligan and Grace Chuchla Ahhh, Hawaii. Crystal clear water, pristine beaches, warm weather – it’s the perfect place to relax and enjoy some sun. Well, that is, it’s the perfect place to relax until you disclose your trade secrets to a third party contractor who then allegedly breaks its business relationship with you… Continue Reading

Preliminary Injunction Issued By Nebraska Federal District Court To Level The Playing Field in Trade Secrets Dispute

Posted in Practice & Procedure, Trade Secrets

A federal district court in Nebraska recently issued a significant preliminary injunction preventing trade secret misappropriation and unlawful competition in a contentious dispute between two freight companies.  West Plains, L.L.C. v. Retzlaff Grain Co., Case No. 8:13CV47 (D. Neb., Feb. 26, 2013). A group of freight forwarders employed by CT Freight allegedly resigned en masse… Continue Reading

Nuts and Bolts for Terms Commonly Used in Trade Secret Computer Forensic Investigations

Posted in Computer Fraud, Computer Fraud and Abuse Act, Data Theft, Practice & Procedure, Trade Secrets

As a special feature of our blog –special guest postings by experts, clients, and other professionals –please enjoy this blog post by digital forensics expert Jonathan Karchmer, a Senior Manager with Intelligent Discovery Solutions.  -Editor Robert Milligan By Jonathan Karchmer Computer forensic investigations are commonplace for matters dealing with allegations of trade secret theft. Forensic experts and IT security teams… Continue Reading

Texas Considers Adopting the Uniform Trade Secrets Act

Posted in Legislation, Trade Secrets

Texas, New York, North Carolina, and Massachusetts are the only states that do not subscribe to some version of the Uniform Trade Secrets Act (“UTSA”). Common law presently governs misappropriation of trade secrets lawsuits in Texas. Legislation was recently proposed that, if enacted, would adopt a version of the UTSA for the State of Texas. The common… Continue Reading