How can a business enforce its rights if someone steals or improperly discloses confidential information?
Every state has a law prohibiting theft or disclosure of trade secrets. Most of these laws are derived from the Uniform Trade Secrets Act (UTSA), a model law drafted by legal scholars. A listing of states that have adopted some version of the UTSA is provided at the end of this FAQ. A trade secret owner can enforce rights against someone who steals confidential information by asking a court to issue an order (an injunction) preventing further disclosure or use of the secrets. A trade secret owner can also collect damages for any economic injury suffered as a result of the trade secret’s improper acquisition and use. Here are some examples of incidents that can lead to trade secret lawsuits: • Sarah, a former employee of C-com, discloses C-com trade secrets to her new employer. • Mary hacks her way into the network for a computer company and downloads the specs for a new silicon chip. She sells the information to a third party — a rival computer company. • Sheldon is a software program
