Damages In Trade Secret Actions After The DTSA

Law360, New York (June 20, 2016, 10:28 AM EDT) -- On May 11, 2016, the Defend Trade Secrets Act of 2016 became law. Many aspects of the DTSA are modeled on the Uniform Trade Secrets Act that has been adopted by most states. The DTSA expands the forum in which trade secret actions can be brought to include federal courts but does not alter many of the established principles of the UTSA including the types of monetary damages available as a remedy. The purpose of this article is to examine the potential impact of the DTSA and the direct access to the federal courts it offers on the determination of damages available to trade secret owners. In the short term, damages analysis under the DTSA will likely remain essentially the same as under the UTSA. However, the long-term effect may be more pronounced as federal case law from other intellectual property areas may increasingly influence the determination of damages under the DTSA....

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