If an employment agreement entered after May 11, 2016, does not contain an immunity notice, employer can sue an employee for trade secrets misappropriation, but will not be able to recover its attorneys fees or obtain an award of punitive damages.
Tag: Trade secrets theft
Zillow Claims Trade Secrets Protection Over Machine Learning Algorithms; Sues Compass for Theft
Many companies are currently racing to adopt artificial intelligence and machine learning to automate and augment various aspects of their businesses. Those who have succeeded
All Businesses Can Take These Two Steps to Protect Their Trade Secrets
Every business should take at least the following steps to protect its trade secrets: (1) have employees sign non-competition / non-solicitation and confidentiality agreements and (2) turn on proper security features on all document management systems and databases, such as Google Share Drive, Microsoft 365, Dropbox, etc., and any databases used by the business.
A Study Concludes Mentioning “Trade Secrets” in Form 10-K Leads to More Cyber Breaches
Trade secrets only have value as long as they stay secret, so once they come into a competitor’s hands or become publicly available, their value is often destroyed.
Is it a Crime to Take Employers’ Trade Secrets?
Few employees realize that when they take their employers’ trade secrets with them prior to leaving their job they may be exposing themselves to criminal liability under the Economic Espionage Act, which makes it a crime to steal trade secrets when (1) the information relates to a product in interstate or foreign commerce (which is virtually any product now days) or (2) the intended beneficiary is a foreign power.
Employees’ Unauthorized Copying of Electronic Files is Not Theft in Texas
Before pleading a Texas Theft Liability Act claim against an employee for stealing the company’s data, information, documents, or other property, the company should make sure that there is at least some evidence of the employee’s intent to deprive the company of its property.