This week, at the ITech Law World Technology Conference in New York, Seyfarth attorney Dan Hart briefed members of the International Technology Law Association’s Intellectual Property Committee about the European Commission’s proposed Directive on trade secret protection.  As we have written, the new Directive, if enacted, will substantially alter the legal landscape in Europe regarding trade secret protection and
Continue Reading Seyfarth Attorneys Lead Discussion of Proposed EU Trade Secrets Directive at ITech Law World Technology Conference

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

It’s time for yet another meal filled with trade secrets! 

Earlier this month, New York Pizzeria, Inc., a pizzeria chain with over thirty restaurants in the United States and the Middle East, filed a complaint in federal court in Texas alleging trade secret misappropriation.  New York Pizzeria alleged that a former employee, as well as individual restaurant owners, were conspiring
Continue Reading Careful, that Slice of Pizza You’re Eating Might Be Full of Trade Secrets…

By Marcus Mintz

A New York Supreme Court recently affirmed the viability of the “employee choice doctrine” in a rescission action involving employee equity grants.  See Lenel Systems Int’l., Inc. v. Smith, 106 A.D. 3d 1536, 966 N.Y.S.2d 618 (N.Y. App. Div. 2013).  The “employee choice doctrine” arises when an employee has a choice between complying with post-employment obligations,
Continue Reading Comply or Lose: New York Affirms Enforcement of Non-Compete in Rescission Action for Employee Equity Grants

By Robert Milligan and Grace Chuchla

A recently unsealed criminal complaint out of the Eastern District of New York raises allegations that paint a frightening picture for employers of the havoc that disgruntled ex-employees can wreak on company computer networks.

The prosecution alleges that a former employee of an unnamed company that manufactures high-voltage power supplies in Suffolk County, New
Continue Reading Recent Alleged Cyberattack By Ex-Employee Demonstrates Importance of Employer Diligence On Protecting Network Passwords

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 crossing. Trying to assert Computer
Continue Reading The Computer Fraud and Abuse Act and Disloyal Employees: A Narrow Bridge To Nowhere?

On February 6, 2013, the federal Second Circuit Court of Appeals affirmed $15 million of a $18.1 million dollar jury verdict (onto which the trial court tacked on an additional $1.5 million in interest) in favor of a New York subway brake manufacturer on its trade secret misappropriation claim against a former licensee turned competitor.  Faively Transport USA, Inc. v.
Continue Reading Second Circuit Largely Affirms $18.1 Million Trade Secrets Misappropriation Verdict

Garrod, a salesman for more than 25 years in the field of elastomeric precision products (EPP), was terminated in mid-2012 after spending an aggregate of a dozen of those years working for manufacturers of EPP parts Fenner and a company acquired by Fenner.

He had signed both employers’ agreements containing non-compete and customer non-solicitation clauses–which appeared reasonable on their face–and
Continue Reading New York Federal Court Denies Injunction to Enforce Restrictive Covenants Against Terminated Employee

Now that the Tory Burch lawsuit has settled, it looks like we’ve got ourselves another preppy clothing dispute on our hands!  Last week, J. Crew sued one of its former employees, a senior design director named Dwight Fenton, for allegedly stealing confidential information in New York state court.  Fenton had recently resigned from the company to take a position at
Continue Reading Fashion Company Launches Breach of Confidentiality/Unfair Competition Suit Against Former Employee

Last year, Sergey Aleynikov, a computer programmer, beat federal charges of trade secret theft under the Economic Espionage Act. Although Aleynikov was initially convicted, the Second Circuit Court of Appeals overturned his conviction, finding that the trade secrets relating to the source code Aleynikov had taken were not related to a product “produced for. . . interstate or foreign
Continue Reading Aleynikov Case Continues to Grab Headlines in Trade Secrets Community