Trade Secret Conflicts and Fiduciary Duties Lawsuits and Cases
Trade secret related fiduciary duties lawsuits and cases involve the relationship between two parties that obligates one party to act solely in the interest of the other party. The fiduciary party is one that knowingly accepts that trust and confidence to exercise his or her expertise and discretion to act on the other’s, the client’s, behalf. We work with various types of trade secret related fiduciary duties lawsuits and cases.
Trade secret related fiduciary duties lawsuits are varied, but can include some of the following situations:
Trade Secrets consist of confidential information which: (1) has either actual or potential independent economic value by virtue of not being generally known to the public; (2) has value to others who cannot legitimately obtain the information; and (3) is subject to reasonable efforts to maintain its secrecy. Confidential data as to which no steps have been taken to maintain confidential as a secret lose such protections.
Often the confidential data is clearly a trade secret because it has been patented. Inventions which can be patented, methods of production, manufacturing processes, unique pricing strategies, design schematics, ingredients, formulas, and similar types of data can constitute or evidence a trade secret.
The California Uniform Trade Secrets Act (“UTSA”, Civil Code §§3426.1-3426.11) protects this kind of information, and it also affords protection to more common pieces of information, such as customer lists, business plans, spreadsheets, corporate minutes and agendas, and bid specifications, in various contexts.
“Misappropriation” of trade secrets means, by legal definition, either (1) acquisition of such confidential data by improper means; or (2) use or disclosure of trade secrets. Common examples are when former employees use or disclose a former employer’s confidential customer information to solicit new accounts on behalf of a new employer [Morlife, Inc. v. Perry (1997) 56 Cal. App. 4th 1514, 1526; Merrill, Lynch, Pierce, Fenner & Smith, Inc. v. Garcia (C.D. Cal. 2000) 127 F.Supp.2d 1305, 1306].
If the new employer has reason to know or suspect that non-common data it is provided by a new employee was developed by another company, the new employer could also be held liable for trade secret misappropriation.
Sometimes the confidential data is protected by a confidentiality agreement between the employee and the employer.
Trade secret related fiduciary duties lawsuits and cases are common, and arise from a wide variety of situations and circumstances, like the ones described above, and many others. Our firm has the experience needed to win these types of trade secret related fiduciary duties cases for you.
If you have a case and possible lawsuit similar to these, contact Ken Ralidis at 213.251.5480 today to see how he can help you get the compensation you deserve. We have often obtained results for our clients that are 10-25 times what the initial offer was. Don’t just settle for any attorney that may not have the experience, or a big law firm that doesn’t have the time or resources for a case like yours. Reach out to Ken Ralidis for his experience and the personal attention he offers. We can help you win your case!