Trade Secrets: Remedies Related Articles:

2L, Intellectual Property

Injunction

• May not use particular trade secret
• How long should it last? Trade secrets do not have limited terms!
• Courts try to undo damage defendant did, try to guess how long it would have taken thief to figure out by legitimate means, and set injunction to that time.
  

Damages

• In lieu or in addition to injunction
• Reasonable royalty approach: what court thinks trade secret holder would have charged as a licensing fee.
• Actual loss approach: what did misappropriation cost trade secret holder in lost sales? Compare sales defendant made vs. how many plaintiff lost.
• Treble damages allowed under UTSA for "willfullnes"

Criminal Penalties

• State law crimes (California, for example)
• Federal crimes, like the Economic Espionage Act