Index
Defend Trade Secrets Act of 2016 (DTSA)
Summary
Establishes a federal cause of action for the misappropriation of trade secrets, allowing trade secret owners to sue in federal court.
Rights & Rules
- 01.Businesses can protect confidential information (e.g., formulas, processes, customer lists, business plans) that derives independent economic value from not being generally known and is subject to reasonable efforts to maintain its secrecy.
- 02.A business can sue federally if someone improperly acquires, uses, or discloses their trade secret.
Penalties
- 01.Injunctive relief to prevent actual or threatened misappropriation.
- 02.Damages for actual loss and unjust enrichment.
- 03.Exemplary damages (up to twice the amount of actual damages) for willful and malicious misappropriation.
- 04.Attorney's fees for willful and malicious misappropriation or bad faith claims.
Verified Citations
18 U.S. Code § 1836 - Civil proceedings to enjoin misappropriation
Source"An owner of a trade secret that is misappropriated may bring a civil action under this subsection if the trade secret is related to a product or service used in, or intended for use in, interstate or foreign commerce."