News & Analysis as of

Misappropriation Attorney's Fees

Benesch

Logistics on the Offensive: Using Contractual and Common Law Rights as a Sword

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We are now in the era of freedom of contract in the logistics arena. While contracts provide many protections to contracting parties, they can also be used offensively, to affirmatively protect legal rights. ...more

Sheppard Mullin Richter & Hampton LLP

Attorney’s Fees May Be Recoverable in Trade Secret Cases, Even Without Damages

In California, although the prevailing rule is that each party in litigation must cover their own fees and costs, a litigant can be awarded reasonable attorney’s fees and costs if expressly permitted in a contract....more

Seyfarth Shaw LLP

Third Circuit Holds that Judge, Not Jury, May Determine “Bad Faith” for Purposes of Fee Shifting Under DTSA and PUTSA

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Both the federal Defend Trade Secrets Act of 2016 (“DTSA”) and Pennsylvania Uniform Trade Secrets Act (“PUTSA”) provide that a defendant may recover its attorneys’ fees if it demonstrates that a claim for misappropriation of...more

Axinn, Veltrop & Harkrider LLP

A Rare Bird? TriZetto Collects $14.5M in Attorneys' Fees but No Trade Secret Damages

A claimant's recovery of attorneys' fees in a trade secret action ordinarily reflects an overwhelming success at trial. The claimant would have necessarily proved (at least under federal law) that its trade secret had been...more

Dorsey & Whitney LLP

Court Upholds “Monster” $293 Million Award But Declines to Award Monster Energy Company Exemplary Damages for Energy Drink...

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Last month, Vital Pharmaceuticals, Inc. (“Vital”), the manufacturer of the Bang energy drink, fell short in its post-trial challenge to a “monster” jury award in favor of Monster Energy Company (“Monster”). ...more

Vondran Legal

Arizona trade secret law

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Most states have a law that protects trade secrets. California, for example, has CUTSA (California Uniform Trade Secret Act). Arizona has the Arizona Uniform Trade Secrets Act ("AUTSA") found in chapter 4 of title 44 of the...more

Holland & Knight LLP

Court Denies Request for Attorneys' Fees Against Counterclaimant with Ill-Defined Trade Secret

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In a late-March 2023 decision out of the U.S. District Court for the Southern District of California, a court denied a plaintiff's request for attorneys' fees against a defendant who filed "objectively specious" counterclaims...more

Sheppard Mullin Richter & Hampton LLP

Reap What You Sow – Sixth Circuit Affirms Recovery of Research and Development Costs to Agricultural Company in Trade Secret Case

The recent decision by the U.S. Court of Appeals, Sixth Circuit, Caudill Seed & Warehouse Co. v. Jarrow Formulas, Inc., illustrates the flexible approach taken by courts when considering the calculation of compensatory...more

McDermott Will & Emery

A Healthy Dose of Seeds: Unique Combination Trade Secrets Entitled to Protection

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The US Court of Appeals for the Sixth Circuit upheld a jury verdict finding a dietary supplement company liable for misappropriating another company’s research and development (R&D) related to broccoli-seed extract. Caudill...more

McDermott Will & Emery

Play It Again and Again (Sam): Meanwhile No Injunction, No Fees

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In its third opportunity to review the district court’s decision in this trade secret case involving flooring, the US Court of Appeals for the Eleventh Circuit again reversed, this time vacating a permanent injunction and an...more

Patton Sullivan Brodehl LLP

California Supreme Court: Penal Code Section 496(c) Can Apply To Business Disputes

In a long-awaited opinion — Siry Investment, L.P. v. Farkhondehpour — the California Supreme Court held that California Penal Code section 496 can apply to a business dispute. The opinion resolves a split of authority among...more

Sheppard Mullin Richter & Hampton LLP

A High Mountain to Climb: Filing DTSA Claims Without any Evidence is Not Enough to Meet “Bad Faith” Standard for Awarding...

Litigators know it is generally not easy to recover attorneys’ fees in defense of a trade secret misappropriation action. The Federal Defend Trade Secrets Act (“DTSA”) permits a court to “award reasonable attorneys’  fees” to...more

McGlinchey Stafford

Is My Electronic Signature Valid? - Commercial Law Bulletin - June 10 2022

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Ohio- Uniform Trade Secrets Act Sal’s Heating & Cooling, Inc. v. Bers Acquisition Co., 8th Dist. Cuyahoga No. 110685, 2022-Ohio-1756- In this appeal, the Eighth Appellate District affirmed the trial court’s decision,...more

Epstein Becker & Green

Superior Court of California Attorneys’ Fees Award Punishes Plaintiff’s Bad-Faith Litigation for Alleged Misappropriation of Trade...

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A California Superior Court Judge in Orange County granted an attorneys’ fees award in the amount of $5.8 million to defendant Landmark Event Staffing Services, Inc. (“Landmark”) in Contemporary Services Corporation v....more

McDermott Will & Emery

Self-Dealing Lawyer Held Jointly and Severally Liable in Trade Secret Misappropriation

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The US Court of Appeals for the Fifth Circuit affirmed a judgment holding a lawyer jointly and severally liable for trade secret misappropriation and fraudulent transfer and enjoining any further use of the trade secrets...more

Mintz - Intellectual Property Viewpoints

Open Question: Use of Stolen Trade Secrets May or May Not Qualify as a Predicate Act Under RICO

Since the passage of the Defend Trade Secrets Act (DTSA), trade secret owners have been able to use allegations of trade secret misappropriation under the DTSA to support civil claims under the Racketeer Influence and Corrupt...more

Sheppard Mullin Richter & Hampton LLP

Trade Secret Misappropriation: Denial of Motion for Attorneys’ Fees under CUTSA is Not an Appealable Order

Whether a court order is appealable is often the first issue analyzed by appellate attorneys. An interlocutory order is an order issued by a court while a case is pending. These orders are not a final disposition of the case,...more

Allen Matkins

Bad Faith Prosecution Of Trade Secrets Theft May Lead To Attorney's Fee Award (Or Not)

Allen Matkins on

In 1984, the California legislature decided to curb "specious" actions for misappropriation of trade secrets by enacting Section 3426.4 of the California Civil Code.  Cal. Stats. 1984, ch. 1724.   That statute provides...more

Dorsey & Whitney LLP

(Updated) Federal Circuit Gives a Makeover to $66 Million Judgment Against Beauty Giant

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Earlier this month, the U.S. Court of Appeals for the Federal Circuit reversed a $66 million dollar judgment against beauty industry giant L’Oréal for patent infringement, trade secret misappropriation, and a related breach...more

Clark Hill PLC

The CH Trade Secrets Review, 2020 Part III

Clark Hill PLC on

In Part III of this newsletter, we continue our review of significant developments, cases, and verdicts in 2020. Confidentiality - Disclosure To Government - Maintaining confidentiality of information that a company regards...more

Dorsey & Whitney LLP

Federal Circuit Gives a Makeover to $66 Million Judgment Against Beauty Giant

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Earlier this month, the U.S. Court of Appeals for the Federal Circuit reversed a $66 million dollar judgment against beauty industry giant L’Oréal for patent infringement, trade secret misappropriation, and a related breach...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Massachusetts SJC Rules That Employers May Hold Employees Liable for Violating Unfair and Deceptive Trade Practices Law

On April 9, 2021, the Massachusetts Supreme Judicial Court (SJC) ruled that an employee may be liable to his or her employer under the Commonwealth’s unfair and deceptive trade practices statute - which authorizes an award of...more

Seyfarth Shaw LLP

Failure to Tune In To Requirements to Meet Trade Secret Status Under Illinois Trade Secrets Act Results in Award of Attorneys’...

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The Illinois Trade Secrets Act (“ITSA”), which is consistent with both other states that have adopted the Uniform Trade Secrets Act and the federal Defend Trade Secrets Act, allows the recovery of attorneys’ fees for a party...more

McDermott Will & Emery

$6 Million Verdict Vacated in Flooring Tech Trade Secrets Row

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The US Court of Appeals for the 11th Circuit reversed a judgment of trade secret misappropriation because the plaintiff had not proved that the defendant’s duty to maintain the secret arose at the time it acquired the secret....more

Sheppard Mullin Richter & Hampton LLP

Illinois Appellate Court Upholds Sanctions Against Radio Advertiser For Bad Faith Trade Secrets Claims

The recent case of Multimedia Sales & Marketing, Inc. v. Marzullo, et al., — N.E.3d —-, 2020 IL App (1st) 191790 (1st Dist. Dec. 21, 2020), demonstrates the peril that attorney fees sanctions present for litigants who bring...more

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