January 29, 2020
2019 marked another exciting year for trade secret litigation. Approximately 1,400 new cases were filed in federal courts, holding fairly steady with the number filed in 2018. Successful federal plaintiffs were awarded more than $45 million total for their trade secret claims, with an average award of about $1.1 million. 2020 is expected to be equally eventful for trade secret litigation.
Similarly, 2019 was eventful for legislation and enforcement related to trade secrets. Seven states amended or enacted statutes restricting noncompete agreements—an important tool in protecting an employer’s trade secrets—and California federal courts restricted nonsolicitation agreements. The Trump administration heightened efforts to combat intellectual property theft and espionage from China. The Department of Justice also argued that indictments for conspiracy or attempt to steal trade secrets need not identify those secrets. Looking ahead, legislative and agency focus on limiting noncompete—and potentially nonsolicit—agreements is likely to continue in 2020.
Jason Schwartz, Greta Williams, Christine Demana, Megan Hulce and Joseph Barakat highlight these and other notable trade secrets developments from 2019 and trends for 2020 in their two-part article, recently published by Bloomberg Law.
Part 1: Trade Secrets 2019 Litigation Roundup and 2020 Trends
Part 2: Trade Secrets 2019 Legislative, Executive Roundup and 2020 Trends
Reproduced with permission, January 28/29, 2020, from Copyright 2020 The Bureau of National Affairs, Inc. (Bloomberg Industry Group), (800-372-1033), www.bloombergindustry.com.
Gibson, Dunn & Crutcher’s lawyers are available to assist in addressing any questions you may have regarding the developments discussed in this update. Please contact the Gibson Dunn lawyer with whom you usually work or the following authors:
Jason C. Schwartz – Washington, D.C. (+1 202-955-8242, [email protected])
Greta B. Williams – Washington, D.C. (+1 202-887-3745, [email protected])
Christine Demana – Dallas (+1 214-698-3246, [email protected])
Please also feel free to contact any of the following practice group leaders and members:
Labor and Employment Group:
Catherine A. Conway – Los Angeles (+1 213-229-7822, [email protected])
Jason C. Schwartz – Washington, D.C. (+1 202-955-8242, [email protected])
Intellectual Property Group:
Wayne Barsky – Los Angeles (+1 310-557-8183, [email protected])
Josh Krevitt – New York (+1 212-351-2490, [email protected])
Mark Reiter – Dallas (+1 214-698-3360, [email protected])
Howard S. Hogan – Washington, D.C. (+1 202-887-3640, [email protected])
Privacy, Cybersecurity and Consumer Protection Group:
Alexander H. Southwell – New York (+1 212-351-3981, [email protected])
Benjamin B. Wagner – Palo Alto (+1 650-849-5395, [email protected])
© 2020 Gibson, Dunn & Crutcher LLP
Attorney Advertising: The enclosed materials have been prepared for general informational purposes only and are not intended as legal advice.