Articles Posted in Trade Secrets

FORT LAUDERDALE BUSINESS LITIGATION:TRADE SECRET MISAPPROPRIATION VIA “SUBSTIANTIAL DERIVATION”
Mavrick Law Firm

Under Florida law, a trade secret means information not commonly known by or available to the public, which derives economic value from not being generally known to or ascertainable by proper means by others who can obtain economic value from the information, and that was subject to reasonable efforts to maintain its secrecy. Florida’s trade…

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MIAMI BUSINESS LITIGATION: DIRECT AND INDIRECT TRADE SECRET MISAPPRORIATION
Mavrick Law Firm

Federal courts distinguish between “direct” and “indirect” claims of trade secret misappropriation. The United States District Court for the Northern District of California, in Heller v. Cepia, L.L.C., 2012 WL 13572 (N.D. Cal. Jan. 4, 2012), explained that the difference depends on whether a plaintiff alleges the defendant obtained the trade secrets directly from the…

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FORT LAUDERDALE BUSINESS LITIGATION: DISCOVERY OF TRADE SECRETS IN LITIGATION
Mavrick Law Firm

A trade secret plaintiff may have to divulge its claimed trade secret with reasonable particularity to the defendant before engaging in discovery because a growing number of courts require trade secret plaintiffs to do so. This rule places the plaintiff in a “Catch-22.” See DeRubeis v. Witten Techs., Inc., 244 F.R.D. 676 (N.D. Ga. 2007)…

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FORT LAUDERDALE BUSINESS LITIGATION: EMPLOYEE THEFT OF TRADE SECRETS
Mavrick Law Firm

Some employers have confronted the situation where employees have taken corporate trade secrets to use in competition against their former employer, but the employees had not signed a non-compete agreement. Under Florida law, however, the fact that the former employees did not sign a non-compete agreement is not dispositive concerning whether the business may enforce…

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MIAMI BUSINESS LITIGATION: DISCLOSURE OF TRADE SECRETS IN COURT PROCEEDINGS
Mavrick Law Firm

Florida law has a statutory privilege concerning disclosure of trade secrets in a lawsuit. Florida Statutes Section 90.506 states in pertinent part: “A person has a privilege to refuse to disclose, and to prevent other persons from disclosing, a trade secret owned by that person if the allowance of the privilege will not conceal fraud…

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MIAMI BUSINESS LITIGATION: POACHING CUSTOMERS WHEN THERE IS NO NON-COMPETE AGREEMENT
Mavrick Law Firm

Florida’s non-compete statute, Section 542.335, Florida Statutes, accords broad protection in favor of a business seeking to prevent former employees from competing with the business via goodwill with customers with whom the former employee dealt during his employment. In this regard, section 542.335(1)(b)(3) expressly considers a “legitimate business interest” to include “[s]ubstantial relationships with specific…

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FORT LAUDERDALE BUSINESS LITIGATION: TRADE SECRET MISAPPROPRIATION WITH DERIVATIVE PRODUCT
Mavrick Law Firm

The plaintiff in a trade secret misappropriation case must prove it has a trade secret and the defendant misappropriated the trade secret. Humphreys & Associates, Inc. v. Cressman, 2015 WL 12698428 (C.D. Cal. Aug. 31, 2015) (“To succeed on a claim of trade secret misappropriation, the plaintiff must establish that (1) the plaintiff owned a…

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MIAMI BUSINESS LITIGATION: DAMAGES FOR WILLFUL AND MALICIOUS MISAPPROPRIATION OF TRADE SECRETS
Mavrick Law Firm

The Defend Trade Secrets Act (DTSA), 18 U.S.C. section 1836, is the federal statute that provides a cause of action for misappropriation of trade secrets. Under DTSA, “a court may” award (1) “damages for actual loss caused by the misapropriation of the trade secret,” (2) “damages for any unjust enrichment caused by the misappropriation of…

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MIAMI BUSINESS LITIGATION: DAMAGES IN TRADE SECRETS LITIGATION
Mavrick Law Firm

Someone misappropriated your trade secrets and you can prove it. But how were you damaged? This is an important question you must ask before commencing a lawsuit because the answer could influence a significant portion of your litigation strategy. Below we provide insights into some of the categories of damages you may be entitled to…

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MIAMI BUSINESS LITIGATION: PROTECTION OF TRADE SECRETS AND NONDISCLOSURE AGREEMENTS
Mavrick Law Firm

For certain business, their trade secrets and are their most valuable assets. Accordingly, businesses will often seek to protect their trade secrets in various ways, including the use of a non-disclosure agreement (commonly referred to as an “NDA”). An NDA is a contract that typically binds current and former employees and independent contractors to maintain…

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