Defense Attorneys’ Fee Standards Set in Pennsylvania Trade Secret Suits

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In Best Medical International, Inc. v. Spellman, a federal court in Pennsylvania determined — in a case of first impression — that attorneys’ fees may be awarded to the prevailing defending party under the Pennsylvania Uniform Trade Secrets Act (“PUTSA”) when it has demonstrated:

1. the prosecuting party’s claim was objectively specious; and

2. the prosecuting party “knows or is reckless in not knowing that” that the misappropriation claim is meritless, but continues to prosecute it anyway.

This decision provides prevailing defendants in misappropriation cases brought or maintained in bad faith with a roadmap for obtaining attorneys’ fees under the PUTSA...

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