Trade Secrets

Overview/Description
 A trade secret is information that is of proven economic value to its owner, is actively protected, and is not generally known to competitors. Trade secrets are important because they provide a competitive advantage to their owners and may be the only viable form of legal protection available. They are protected under the Uniform Trade Secrets Act (UTSA), in those states that have adopted it, and by common law principles in others. Owners may take legal action if their trade secrets are violated. The single most effective step owners can take to protect trade secrets is to get employees, contractors, and other relevant individuals to sign properly drafted, binding nondisclosure agreements (NDAs). These agreements provide strong protection in most, though not all, circumstances. This two-hour course enables participants to understand the nature of trade secrets, and the legal implications of their use and misuse. SkillSoft's Legal Compliance courses are developed and maintained with subject matter support provided by the Labor, Employment, and Employee Benefits Law Group of the law firm of Sheehan Phinney Bass + Green PA.

Target Audience
 General audience; employers, employees, and contractors who need to understand the fundamentals of trade secrets and trade secret law

Expected Duration
2.0 hours

Lesson Objectives:

Trade Secrets: Rights and Protections

  • identify the main characteristics of a trade secret.
  • differentiate between trade secrets and patents.
  • identify the role of the Uniform Trade Secrets Act in protecting trade secrets.
  • recognize the benefits of trade secrets to a business.
  • identify the groups of people who can be prevented from misusing trade secret information.
  • identify the potential problems that can occur when a company fails to take necessary steps to protect its trade secrets.
  • identify practical measures that can be taken to protect trade secrets.
  • recognize the benefits of trade secret protection.

    • Trade Secrets Agreements and their Enforcement

  • differentiate between the main types of trade secret agreements.
  • distinguish between types of information that are protected, and those not protected, by a nondisclosure agreement.
  • identify important limitations on nondisclosure agreements.
  • recognize the benefits to a company of using nondisclosure agreements.
  • recognize the activities that the courts will treat as trade secret misappropriation.
  • identify the sequence of steps to take if someone violates a nondisclosure agreement.
  • employ the best practices when managing an employee who has worked for a competitor.
  • differentiate between the four main methods for resolving trade secret disputes.

    • Course Number: LCO0111