Trade secrets, although not copyrighted or patented, are still considered a business asset and intellectual property right. Charges of misappropriation of trade secrets and unfair competition arise when a business is thought to have deprived another business of this asset.
Not be generally known to the public;
Confer an economic benefit on the holder due specifically to its not being generally known; and,
Involve reasonable efforts to maintain its secrecy
Additionally, Courts Also Consider:
The extent to which the information is known outside the business as well as among employees and others within the business;
The extent of measures taken by the company to maintain the confidentiality of the information;
The value of the information to the corporation and its competitors, including the amount of effort or money expended by the owner in developing the information; and
The ease or difficulty with which the information could be properly acquired or duplicated by others.
Plaintiffs may seek injunctive relief and compensatory money damages in civil court, and in the past these courts have attentively protected trade secrets from appropriation, disclosure, and theft. You can be Sued by Your Own Minority Shareholder for alleged misappropriation of trade secrets.
Under the federal Uniform Trade Secrets Act, conviction of the theft of trade secrets can result in imprisonment for up to 10 years and a fine of as much as $5 million for corporations and $250,000 for an individual. Federal prosecutors are vehement.
Are you facing allegations of misappropriation of trade secrets? If so, you need a legal team with the resources and expertise to effectively battle such accusations. The Blanch Law Firm has experience successfully resolving unfair competition cases of all types, and is ready to do the same for you.
Contact one of our attorneys by calling 212-736-3900. Your initial consultation is both free and confidential.