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Non-Compete and Trade Secrets Blog

Posts in Computer Fraud & Abuse Act.

Twas the night before Christmas, when all through the company; A disgruntled employee kept saying “please jump with me.” She was trying to line up a grand, mass departure; Of which she was certain no one could outsmart her.

On April 27, 2016, Congress passed federal trade secrets legislation known as the "Defend Trade Secrets Act" ("DTSA"). On May 11, 2016, President Obama signed DTSA into law. The enactment of DTSA creates, among other things, a federal civil remedy for the misappropriation of trade secret business information. However, DTSA will not preempt or otherwise override state laws concerning trade secrets, such as the Uniform Trade Secrets Act ("UTSA"), which many states have adopted. Further, the rights to recovery under DTSA and UTSA are very similar. For example, both statutes provide a right to recover exemplary damages equal to twice the amount of actual damages awarded and attorney's fees

Just a few days after the Major League Baseball season opens next month, former St. Louis Cardinals scouting director Chris Correa will attend a sentencing hearing where he faces to up to five years in prison, a $250,000 fine, and payment of restitution to the Houston Astros. Correa pleaded guilty earlier this year to criminal charges brought against him under the Computer Fraud and Abuse Act ("CFAA"), 18 U.S.C. § 1030. Trade secret lawyers, baseball ...

In late 2015, Atlantic Marine Construction Company, a Virginia Beach construction company, filed a lawsuit against a former Vice President of Construction and his new employer, alleging various causes of action arising out of the VP’s trade-secret theft. At first glance, this lawsuit reflects a familiar scenario: a departing employee steals proprietary data on his way out and later provides it to a competitor. This case includes an interesting ...

Federal courts have continued to disagree on whether the Computer Fraud & Abuse Act ("CFAA") applies to employees who misuse confidential information or trade secrets obtained from an employer's computer system that the employee was authorized to access. In Florida, and particularly in the Middle District, the large majority of district courts to consider the issue have followed the "narrow" view that an employee who has been granted access to ...

As January draws to a close, we figured it seemed like a good time to take stock of where things stand in the world of non-competes and trade secrtets. So we've paused to look around the blogosphere to see what's been happening and what's on the horizon.

There is an ongoing debate in the courts over whether the federal Computer Fraud & Abuse Act (“CFAA”) applies in the context of departing employees who are at odds with their former employers. The United States Court of Appeals for the Fourth Circuit is the latest circuit to weigh in on the debate.

Computers are part of our daily lives. We use them for work and play. Sometimes we use them for play at work. If this violates a workplace policy, is it a federal crime?

Numerous courts have weighed in recently on whether the Computer Fraud & Abuse Act applies in the context of a faithless employee. One more court may be poised to do so.

There is an ongoing debate about whether the Computer Fraud & Abuse Act applies (or should apply) to employees who access work computers in a manner contrary to company policy. Recently, the debate has shifted from court to the halls of Congress.

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