Yesterday, President Obama signed the Defend Trade Secrets Act into law. The key takeaways of DTSA and the new federal cause of action it creates for the protection of trade secrets include:
- Uniformity – a uniform set of rules obviates the need for trade secret holders to navigate varied state laws
- Seizure – a mechanism for seizing trade secrets.
- Limited Injunctive Relief – to protect the trade secrets but not to restrain the former employee from working elsewhere.
- Damages – injunctive relief, damages, exemplary damages and attorneys' fees.
- Notice – the ability to recover exemplary damages and attorneys' fees is tied to certain notice requirements.
- No Preemption – state laws still exist and, in certain circumstances, may be the most advantageous course of action for protecting trade secrets
For more information, please read our previous client alert, available here.