Trade secret disputes and misappropriation claims are on the rise and the size of trade secret verdicts are increasing at an astonishing rate. Trade secrets are often essential to a business’ success, and it is imperative that businesses protect and exploit that information appropriately. Sheppard Mullin assists clients to do exactly that, across a variety of industries including technology, life sciences, entertainment and media, healthcare, financial services, hospitality and leisure, fashion, retail, manufacturing, defense, and marketing and sales.
Our lawyers “wrote the book” on trade secrets. Sheppard Mullin partner Rebecca Edelson edited the leading treatise, “Trade Secret Litigation and Protection in California,” and four Sheppard Mullin lawyers are chapter authors.
Sheppard Mullin regularly counsels clients on protecting their trade secrets, know-how, and other proprietary information from misappropriation. However, should litigation become necessary to recover that information, e.g., from employees or competitors, we are prepared to advance our clients' interests. Whether a client is the trade secret holder, or the target of a misappropriation claim, our objective is to identify and secure the best resolution for the client with as little disruption to its business as possible.
Our attorneys also work with clients to identify whether a valuable intellectual property asset is best protected as a trade secret, and whether patent or copyright protection is available or more appropriate to protect all or part of the asset. Identifying these issues from the outset is critical. If the incorrect form of protection is selected, it can mean the loss of the asset’s value. Our interdisciplinary trade secret team helps clients make the most informed decisions regarding the protection of their intellectual property assets.
We have seasoned litigators who routinely prosecute and defend trade secret misappropriation and related claims, such as breach of nondisclosure agreements (NDAs) and/or restrictive covenants, unfair competition and breach of fiduciary duty, among others. Importantly, our attorneys are adept in obtaining restraining orders and injunctions to protect clients' rights, and in defending similar actions brought by clients' adversaries. We are able to mobilize on very short notice to present the most persuasive case on behalf of our clients. Such expertise is critical because, as a practical matter, injunction proceedings often decide the outcome of the litigation. In addition, our attorneys understand the importance of guarding against the disclosure of trade secret information during the litigation process to ensure that it does not fall into the public domain or competitors’ hands.
Federal forums are becoming an increasingly popular venue to address trade secret disputes. The 2016 Defend Trade Secrets Act offers a federal civil claim as relief for misappropriation. That Act adds to the arsenal trade secret holders have to enforce their rights. Other potential federal weapons include the Computer Fraud and Abuse Act and the Economic Espionage Act. Unlike many trade secret lawyers whose practices are confined to state court, our lawyers routinely practice in federal court, as well as state court.
More and more frequently, trade secret disputes are presented at the International Trade Commission (ITC) in Section 337 proceedings. We have lawyers who have the wherewithal and know-how to successfully and efficiently advocate for our clients in that forum.
Criminal proceedings related to trade secret theft are also on the rise. We have experienced lawyers who are prepared to defend our clients against such claims and to resolve them efficiently.
