Protecting Trade Secrets From The Inside Job
What is a trade secret?
What types of information can trade secrets protect?
What rights does the owner of a trade secret have?
How can a business protect its trade secrets?
How can a business enforce its rights if someone steals or improperly discloses confidential information?
Is stealing trade secrets a crime?
The most notorious recent case of a conviction for stealing trade secrets involved a former employee of DuPont, who is now serving an eighteen month sentence after pleading guilty to downloading thousands of documents from the company's databases when he was about to leave the company--with trade secrets worth an estimated $400 Million to the company.
Almost every few days now, it seems, we read news of some former executive of a company, or scientist working in research and development, being accused of stealing trade secrets.
Just last week, it was reported that a senior research and development associate at a Lubrizol research facility in Brecksville, pocketed at least $170,000 in exchange for trade secrets from 2001 to 2007, according to the information filed in criminal court. Apparently, Lubrizol employs a variety of protective measures to prevent trade leaks, including confidentiality agreements, according to the company.
In most of these cases, unauthorized access and misappropriation of trade secrets is discovered by forensic investigation only after the suspected theft is discovered. You'd think that big companies with significant assets in trade secrets would use the latest solutions for trade secret management. The objective should be to protect the company's trade secrets from misappropriation in the first place, not just to catch criminals who steal intellectual property left unsecured.



