11th May 2016
Mitch Weinstein, Levenfeld Pearlstein LLC
On 11 May 2016, President Obama signed into law the Defend Trade Secrets Act (DTSA). This article by MSI's Illinois law member Levenfeld Pearlstein LLC explains the DTSA and what it means to you.
Mitch Weinstein of Levenfeld Pearlstein’s IP group provides an explanation of the new act. What is the DTSA and what does this mean to you:
Keep in mind that employee is defined very broadly in the DTSA and includes “any individual performing work as a contractor or consultant for an employer.” A notice that immunity for the use of trade secret information in an anti-retaliation lawsuit must be included in any contract or agreement that governs the use of trade secrets and other confidential information. This would cover, for example, non-disclosure or confidential disclosure agreements. Failure to comply with the notice requirement doesn’t foreclose a federal lawsuit, but will result in the employer losing the ability to recover enhanced damages and attorneys’ fees.
So, employers should consider reviewing and updating policy statements and agreements, as appropriate, to make sure the law’s safe harbor provisions are reflected in those documents.
Watch the video: Mitch Weinstein explains the Defend Trade Secrets Act
Chicago-based Levenfeld Pearlstein, LLC provides legal and business counsel to sophisticated clients across a broad range of corporate, tax, estate planning, real estate, and litigation matters.
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