Smart Strategies For High-Stakes Situations

New approaches in protecting trade secrets

On Behalf of | Jul 5, 2024 | business litigation

Trade secrets are valuable information, such as formulas, designs, and practices that give a business an edge over others. Protecting these secrets through litigation has become more important than ever for businesses.

Proactive protection

Businesses need to protect their trade secrets before any issues arise. They can use non-disclosure agreements (NDAs) with employees and partners to keep information confidential. Training employees about the importance of protecting trade secrets is also necessary. They should know what a trade secret is and how to handle it properly.

Using technology

Technology helps in protecting trade secrets. Companies can use cybersecurity measures like encryption, firewalls, and secure communication channels to prevent unauthorized access. Monitoring software can detect any suspicious activity quickly.

Legal actions in litigation

If someone steals trade secrets, businesses must act fast. They can file for an injunction to stop further misuse of the stolen information. California courts often grant temporary restraining orders (TROs) to stop unauthorized use. Businesses should gather evidence of the misappropriation and keep records of who accessed the sensitive information.

Leveraging the Uniform Trade Secrets Act

California uses the Uniform Trade Secrets Act (UTSA) for trade secret protection. This act helps businesses seek damages and recover losses from misappropriation. Companies can also seek extra damages and attorney’s fees if the misappropriation was willful and malicious.

Importance of expert witnesses

Expert witnesses can help in trade secret cases. They explain complex details to the court and prove that the information is a trade secret and was misappropriated.