Trade Secrets

New Federal Trade Secrets Act provides civil remedy to misappropriation.

A significant development in federal and intellectual property law recently occurred due to the enactment of the Defend Trade Secrets Act (“DTSA”).  Prior to the DTSA, trade secrets owners were required to rely upon a complex patchwork of state law to bring a claim of misappropriation.  Now, with the DTSA, trade secrets owners have been provided a powerful tool to bring a claim of trade secret misappropriation by way of federal law in federal district courts.  Through the DTSA, trade secrets owners may request an immediate ex parte temporary restraining order for seizure of misappropriated trade secrets, injunctive relief, and, the court has the discretion to award exemplary damages including treble damages and attorneys’ fees.  Conversely, if the court finds that a claim was brought under the DTSA in bad-faith, the court may award reasonable attorneys’ fees to a prevailing defendant in the litigation.