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Misappropriation Duty of Loyalty

Proskauer - Minding Your Business

CA Federal Court Awards Biomedical Companies $62M Following Jury Trial Involving Confidentiality-Related Claims

On November 1, 2023, a jury in the U.S. District Court for the Central District of California awarded damages to Skye Orthobiologics, LLC (“Skye”) and Human Regenerative Technologies, LLC (“HRT”) for breach of contract,...more

Venable LLP

Fourth Circuit Holds That Government Contractors Can Rely on Fiduciary Duty of Loyalty to Prevent Employees from Direct...

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The U.S. Court of Appeals for the Fourth Circuit has found that employees can breach their duty of loyalty to their employers and tortiously interfere with a business expectancy by competing against their employer for the...more

Nutter McClennen & Fish LLP

Massachusetts Court Bars “Reasonable Royalty” Evidence Based on Law of the Case Doctrine

After successfully appealing a judgement and obtaining a remand of its Chapter 93A claim to the Massachusetts BLS, the Governo Law Firm moved to admit expert testimony about a “reasonable royalty” measure of damages. Governo...more

Lasher Holzapfel Sperry & Ebberson PLLC

The Accidental Partnership: What To Know If You Have Unwittingly Formed A Business

One day you are sitting with your friend brainstorming different ideas for your new startup business and before you know it you have a name, marketing and social media accounts, and a lease for your store front. In the...more

Zuckerman Spaeder LLP

Employment and Ethics Obligations for Departing Attorneys: Checking in on a Pending Case

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Many ethics attorneys were intrigued by media reports of a complaint filed in February by Elliott Greenleaf, P.C. against four firm shareholder-attorneys and a paralegal who left the firm’s Wilmington office to join Armstrong...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

Genova Burns LLC

Court Rules that Employees Cannot Disclose Your Trade Secrets, Even to Themselves

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On August 10, 2020, the District Court for the District of New Jersey in Bramshill Investments, LLC v. Ashley Pullen, 2:19-cv-18288 (D.N.J. August 10, 2020) recently considered a motion to dismiss a complaint against an...more

Butler Snow LLP

Court Allows Company to Surreptitiously Monitor Former Employee’s Social Media Account to Support its Trade Secrets Claim

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A federal court of appeals recently found that there was nothing wrong with a company monitoring a departed employee’s Facebook account and using that information to pursue a trade secrets claim against four former employees....more

Genova Burns LLC

Appeals Court Tells Former Employees: Two Wrongs Don’t Make Them Right

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The Third Circuit skirted the issue as to the means by which the employer, Scherer Design Group (“SDG”) found out about the theft. In the end, the fact that an employer may have violated the common law by accessing private...more

Holland & Knight LLP

Company’s Covert Monitoring of Former Employees’ Private Facebook Messenger Conversations Was Not “Unclean Hands” - Preventing...

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The equitable defense of "unclean hands" is often raised but rarely proven. Sometimes stated as "he who comes into equity must come with clean hands," it is based on the maxim that "he that hath committed iniquity shall not...more

McAfee & Taft

Ruling offers guidance for companies seeking injunctions to protect trade secrets

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Customers, trade secrets, and proprietary information are the lifeblood of any company. For this reason, companies routinely have employees sign confidentiality agreements and, to the extent they are enforceable,...more

Seyfarth Shaw LLP

10th Circuit Affirms that Employer Failed to Show How Past Harm Signified Future Irreparable Harm in Support of Preliminary...

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On December 28, 2018, a three-judge panel of the Tenth Circuit Court of Appeals affirmed the holding by the U.S. District Court for the District of Colorado denying the plaintiff’s, DTC Energy Group, Inc. (“DTC Energy”),...more

Seyfarth Shaw LLP

Pennsylvania Federal Court Finds That Plaintiff’s Trade Secret Misappropriation Allegations Hold Up

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A Pennsylvania federal court recently denied Defendant Synchrony Group, LLC’s motion to dismiss a trade secret lawsuit filed by Plaintiff Jazz Pharmaceuticals, Inc. (Jazz”) holding that Plaintiff sufficiently stated a trade...more

Littler

Colorado Court of Appeals Confirms the Broad Scope of “Arising Under” Arbitration Agreements and Expands Duty-of-Loyalty Claims

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On September 20, 2018, the Colorado Court of Appeals issued an impressive 41-page decision on the scope of arbitration agreements and the duty of loyalty in Colorado, Digital Landscape Inc. v. Media Kings LLC, 2018 COA 142...more

Foley & Lardner LLP

Seventh Circuit Disqualifies Conflicted Counsel

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It’s not often that a court disqualifies one of the lawyers who appears before it. That’s what makes the Seventh Circuit’s recent decision in Doe v. Nielsen, No. 17-2040 (7th Cir. Feb. 26, 2018), one for the history books....more

Fisher Phillips

California Jury Punishes Former Employees for Unfair Play-Only Lawful Competition is Sacrosanct!

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Notwithstanding California's strong public policy in favor of lawful competitive behavior, California employees' duty of loyalty to their current employer reigns supreme. A violation of that duty can lead to costly jury...more

Orrick - Trade Secrets Group

Excess Cargo? Shipping Common Law Claims Out of a Trade Secret Complaint

AFS, a company specializing in streamlining shipping costs and logistics, had its eight count amended complaint streamlined to only one—its Tennessee Uniform Trade Secrets Act (“TUSTA”) claim—primarily due to preemption and...more

Orrick - Trade Secrets Group

The Duty of Loyalty Awakens

If you’re a Star Wars fan, loyalty probably means waiting ten years for “The Force Awakens.” (Or even longer if you prefer not to count Episodes I-III). For an employee looking to leave her current employer, however, loyalty...more

FordHarrison

Appellate Decision Teaches New Jersey Employees How To Remove Confidential Documents and Trade Secrets from Employers

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Like the hit show "How to Get Away with Murder," the recent New Jersey ruling in Spencer Sav. Bank SLA v. McGrover (App. Div. March 5, 2015), instructs employees looking to remove their employers' confidential documents and...more

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