The Defend Trade Secrets Act: A Year Later

May 11, 2017

Managing Intellectual Property

Jim Pooley was quoted in an edition of Managing Intellectual Property on May 11, 2017. His comments are presented below, and you can read the full text of the article by clicking the "Read Article" button.

The Defend Trade Secrets Act came into effect a year ago, for the first time giving trade secret holders the option of filing misappropriation claims in US federal courts. Its launch has been smooth, calming initial fears about potential abuse of its ex parte seizure provisions. The traditional state law system for enforcement remains intact, and is the preferred forum for localised disputes. But for cases involving actors at the national or international level the new platform provides clear advantages, and over 300 complaints have been filed. The DTSA's whistleblower protections may have been weakened by a court decision that refused to dismiss an action against a reporting employee. But in general there have been few surprises, with federal courts interpreting and applying the new law consistently. Major issues remain for clarification, chiefly the extent to which the DTSA will apply to acts of misappropriation occurring outside the US

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