Regulation

New CA Law Gives Refineries Broad Authority to Designate Maintenance Records Trade Secrets

Ah, what would corporations give to be able to have trade secret protections for their information simply by declaring it a trade secret? For oil refineries in California, that dream may now be a reality.

On September 20, 2014, Governor Brown signed Senate Bill 1300 into law. The bill requires oil refineries in California to report information about all scheduled shutdowns and other maintenance for the upcoming calendar year to the Division of Occupational Safety and Health by September 15 of each year. The bill also expands the definition of trade secrets as it applies to oil refineries and permits oil refineries to identify as trade secrets “all or a portion of the information submitted” under the bill if they believe that the information “may involve the release of a trade secret.”
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The House Introduces Another Trade Secrets Bill: Is It Really Any Better Than Before?

The Trade Secrets Act of 2014 (H.R. 5233) was introduced in the House by Congressman George Holding on July 29, 2014.  Representatives Steve Chabot (R-OH), Howard Coble (R-NC), John Conyers (D-MI), Hakeem Jeffries (D-NY), and Jerrold Nadler (D-NY), are cosponsors of the bill.

While the House Bill is very similar to the Bill introduced in the Senate on April 29, 2014 Defend Trade Secrets Act of 2014 (DTSA) (S. 2267), there are some major differences between the two.  Specifically, the House Bill is much more protective of defendants facing ex parte seizure orders. READ MORE

North Carolina Enacts Criminal Penalties for Disclosure of Fracking Trade Secrets

North Carolina is officially open for fracking, after lifting a ban on the practice—and enacting criminal penalties for spilling trade secrets associated with it. With passage of the Energy Modernization Act, North Carolina joins the growing ranks of states that have legislated to protect confidential fracking information.

North Carolina’s new law prompted us to update our chart summarizing the key provisions of similar legislation in other states. It can be seen hereREAD MORE

UPDATE: BACK FROM THE DEAD: Senators Resuscitate Legislation to Create a Federal Right of Action for Trade Secret Theft

With a powerful industrial coalition lining up behind them, two senators are trying yet again to establish a federal right of civil action for trade secret misappropriation, potentially making trade secrets an IP stepchild no more.

Sens. Chris Coons (D-Del.) and Orrin Hatch (R-Utah) introduced the Defend Trade Secrets Act of 2014 on April 29.  As we reported in February (and as picked up today by the LegalTimes), Sen. Coons was then circulating a draft; by recruiting Sen. Hatch as a co-sponsor, he can now tout the bill’s bipartisan support.  Moreover, both are members of the Senate Judiciary Committee, which might help the bill’s odds of survival. READ MORE

Pyrrhic Victory For Parties Seeking Fracking Fluid Disclosures

Parties advocating public disclosure of the chemical makeup of fracking fluids may have won a recent battle in Wyoming, but are they losing the war?  On March 12, 2014, the Wyoming Supreme Court in Powder River Basin Resource Council v. Wyoming Oil and Gas Conservation Commission reversed a district court’s order exempting fracking fluid information from public disclosure.  The court made two key findings.  First, the court clarified that parties seeking disclosure in Wyoming are entitled to de novo district court review of administrative decisions exempting fracking fluid information from disclosure as trade secrets.  Second, it held that the “narrow” definition of trade secrets under FOIA applies to exemption claims. READ MORE

BACK FROM THE DEAD? Senator Wants to Resuscitate Legislation to Create a Federal Right of Action for Trade Secret Theft

Revised post available here.

There are stirrings in the U.S. Senate of yet another bid to establish a federal right of civil action for trade secret misappropriation.

Sen. Chris Coons (D-Del.) has quietly circulated a draft bill to IP lawyers and others with an interest in the legislation.  The draft Protecting American Trade Secrets and Innovation Act of 2014 (“PATSIA 2014”) is the latest of several recent attempts to bring about this right. The past attempts include Sen. Coons’ own prior iteration of the bill, PATSIA 2012 (S. 3389), which never made it out of the Senate Judiciary Committee. READ MORE

Green Chemistry and Trade Secrets: California Leads Chemical Disclosure Movement, As Companies Wrestle with Options for Protection

Earlier this year, we picked mandatory public disclosure laws as a trend to watch in 2014.  Developments in California seem to bear that out, and trade secrets owners will want to keep a close eye on the “green chemistry” movement and expanded public disclosure requirements for manufacturers of a wide range of consumer products.  Companies that make or sell products in California — ranging from electronics and household cleaners to children’s toys and cosmetics — will need to map out a plan that complies with the new requirements while at the same time protecting their valuable intellectual property, including trade secrets. READ MORE

Trade Secrets Watch 2013 Year-in-Review

It’s been a hot year in the trade secrets field, with some huge verdicts and settlements, a renewed spotlight on cyberattacks, and an unusual flurry of trade secrets legislation.  Trade Secrets Watch’s 2013 Year-in-Review highlights the notable trade secrets activity from the past year. READ MORE

LEGISLATIVE UPDATE: Senator Proposes New Bill to Create Civil Cause of Action for Foreign Theft of Trade Secrets

Just before the Thanksgiving holiday last week, Senator Jeff Flake (R-Ariz.) introduced the Future of American Innovation and Research Act, a new trade secrets bill that would allow American trade secrets owners to sue entities who misappropriate trade secrets outside the United States, or who misappropriate trade secrets on behalf of foreign entities.  The bill tracks the Uniform Trade Secret Act’s definitions of “trade secret” and “misappropriation,” and includes standard remedies of damages and injunctive relief.  One interesting addition is that it would READ MORE

CYBERSECURITY UPDATE: New Rules Require Defense Contractors to Protect Technical Information

The U.S. Department of Defense issued final rulemaking on November 18, 2013 that will require DOD contractors to protect from attack confidential technical information on their computer systems, and to report and cooperate with DOD in the event that this information is compromised through a cyberattack.  The rules come nearly two years after draft rules were first announced and in the midst of continuing public concern about the threat of state-sponsored trade secrets theft. READ MORE