Federal Court Dismisses Computer Fraud and Abuse Act Claim That Was Filed Against Our Clients

Proskauer - California Employment Law
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Here’s a recent victory we obtained on behalf of our clients SunEdison, Inc., et al. The individual defendants (then-current employees of SunPower, Inc.) were alleged to have violated the federal Computer Fraud and Abuse Act (CFAA) by connecting USB devices to SunPower’s computer system and allegedly copying data. U.S. District Court Judge William H. Orrick granted our motion to dismiss the complaint on the grounds that “the CFAA is an anti-hacking statute, not a misappropriation statute; [therefore], I GRANT the motion to dismiss because [the defendants] accessed the disputed information with authorization while they were SunPower’s employees. Lacking another federal claim, SunPower’s complaint is DISMISSED for lack of subject matter jurisdiction under 29 U.S.C. § 1331.”

SunPower Corp. v. SunEdison, Inc. 

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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