Business & Commercial Trade Secrets
Here in the State of Texas, a “trade secret” refers to any scientific or technical information, process, concept, process, methodology, specification, or improvement, in whole or in part, that has a specific value and that a business has taken steps to ensure the prevention of physical or intellectual property becoming available to persons other than those to whom the owner has granted specific access to for limited purposes.
Trade secrets are most effectively protected by a well-drafted confidentiality and non-compete contract signed the employees. A common misperception is that courts will not enforce a non-compete agreement. Courts will enforce reasonable restrictions on competition to protect secrets and the goodwill in a non-compete agreement, but the restrictions must be reasonable in time, geographic, and scope of activity.
Misappropriation Of Trade Secrets
An employee opening a new business using his or her former employer’s customer lists, methods of operation, or other trade secrets is a common occurrence. The law can protect the employer, but only if a lawsuit is filed quickly.
The attorneys of Gray Becker, P.C. know how to stop the misappropriation of trade secrets and work diligently to protect clients’ interests.
Texas Uniform Trade Secrets Act
The Texas Uniform Trade Secrets Act (TUTSA) provides additional protections to business owners and can provide relief in many cases where the business owner does not have a non-compete in place. The TUTSA defines a trade secret as “information, including a formula, pattern, compilation, program, device, method, technique, process, financial data, or list of actual or potential customers or suppliers that (1) derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use; and (2) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.” (See § 134A.002(6)).
Where a trade secret has been misappropriated, the plaintiff can recover damages caused by the misappropriation. In some cases, the plaintiff can obtain injunctive relief in the form of an order prohibiting further disclosure or use of the trade secret. Exemplary damages are also available in appropriate cases.
Seeking the help of a qualified attorney, familiar with the laws protecting trade secrets, to assist in drafting confidentiality, employment, and partnership contracts can provide business owners added certainty regarding any claims and even help reduce the cost of extended litigation.
An attorney familiar with these aspects of Texas law becomes even more essential should an issue arise that requires litigation.
Act Quickly to Protect Your Business
Without a restraining order or injunction, the former employee may cause significant damage to a company by using the company’s proprietary information. Our attorneys can obtain a temporary restraining order to protect a business’s trade secrets and goodwill.
The next step is a hearing where we will argue that the restraining order should be converted to a permanent injunction.
The litigators of Gray Becker, P.C. have many years of experience representing clients in these matters. We assist business clients with various matters related to proprietary information, including:
- Violations of confidentiality agreements
- Violations of covenants not to compete (also called non-compete agreements)
- Unfair competition
- Trademark infringement
- Misappropriation of trade secret
Enforcing Noncompete Agreements
Our firm has represented clients in the high-tech industry, insurance companies, and retailers. Many lawyers take cases involving trade secrets, but our experience sets us apart. Gray Becker knows how to respond effectively to these issues and deliver the quality representation our clients expect.
Our lawyers are known for their skills in the courtroom. We are never afraid to take a case to trial because we understand the level of expertise and preparation required to be successful.
Protect Your Intellectual Property With Our Austin, TX, Trade Secrets Lawyer
Building your brand around a unique product or formula is a labor of love and creativity, and you deserve full legal protections for your work. The federal government affords legal protection for trade secrets, as does the state of Texas. If you have a secret recipe or project design, source codes or computing algorithm, or need to protect your client list or company financials, then you have trade secrets and the right to protect them. You also have the right to pursue legal action against those who expose or steal them. Our Austin, TX trade secrets lawyer can help you develop robust legal protections for your trade secrets.
The attorneys at Gray Becker, P.C., take intellectual property security seriously. We have a deep understanding of state and federal requirements for trade secret protection and the close attention to detail necessary to ensure that your trade secrets are preserved. Contact us today to learn more.
Filing For Protection Of Your Trade Secrets
Different types of intellectual property (IP) have different sorts of protections, and the requirements and expectations of privacy and use are different. Trade secrets do not require filing for formal protection with the U.S. Patent and Trademark Office (USPTO), but there are legal consequences for people who misuse or appropriate trade secrets. Our firm can help you file all necessary legal protection of your trade secrets and draft non-disclosure agreements with your employees and vendors to protect any trade secrets they may encounter.
We review your IP safeguards and recommend the right steps to preserve the integrity of your trade secrets. Should you wish to license, lease, or sell your trade secrets, we can draw up contractual protections to allow only the use you want, with severe legal penalties for misuse and violating your contractual agreement with the other party. We have your business’s financial and brand interests at heart and help you protect everything you’ve worked so hard for.
Legal Action For Trade Secrets Violations
Even with the best contracts and other legal protections, there is still a chance that a competitor, employee, or other party may be tempted to misuse or appropriate your trade secrets. In these cases, our attorneys take the strongest legal action possible, including filing a civil suit for all damages you and your company suffered and taking action against the offending party for breach of contract if a contract breach was involved. We’re committed to helping your business succeed, and preserving your trade secrets is vital to this end.
Get Started With A Personalized Consultation Today
Do you have a client list, company financials, a secret recipe, or proprietary codes or algorithms that would hamper your business efforts if they were disclosed? Then, you have trade secrets and a legal expectation that they are protected. The IP attorneys at Gray Becker, P.C., can help you preserve everything you’ve worked so hard for by setting legal protections on your trade secrets and initiating civil action for violations. Contact our Austin trade secrets lawyer today to learn more.
The Best Practices For Safeguarding Trade Secrets In Your Company
Protecting your trade secrets is fundamental to maintaining your company’s competitive edge. Our Austin TX trade secrets lawyer at Gray Becker, P.C. understands how imperative it is to secure confidential business information. Collectively, our firm’s lawyers have tried hundreds of cases in federal and state court. Trade secrets encompass proprietary formulas, processes, designs, or methods that set your business apart. Here are the best practices to safeguard these valuable assets.
Identify Your Trade Secrets
The first step to protecting your trade secrets is identifying what qualifies as confidential. Evaluate your operations to determine which processes, data, or methods are unique to your business. Not every piece of information needs protection, so focus on the assets that truly provide a competitive advantage. A thorough audit with the guidance of a legal professional may help pinpoint your most critical proprietary information.
Implement Robust Confidentiality Measures
Once you identify your trade secrets, establish measures to keep them secure. Use written policies that clearly define what employees can and cannot share. Require confidentiality agreements for staff, contractors, and vendors. Regularly train your team on the importance of protecting sensitive information.
It is important to implement physical and digital safeguards. Lock filing cabinets, restrict access to sensitive areas, and use secure servers for digital storage. A multi-layered security approach makes certain that your trade secrets are harder to compromise.
Limit Access To Sensitive Information
Access control is another key strategy. Not every employee or vendor needs access to all your trade secrets. Use a need-to-know policy where only individuals directly involved in specific projects can access relevant information. Maintain detailed records of who has access to proprietary data and review these permissions regularly.
Working with one of our Austin trade secrets lawyers can confirm your access control policies are legally sound and enforceable. This proactive step helps minimize risk if disputes arise.
Monitor For Potential Threats
Monitoring is imperative for maintaining the integrity of your trade secrets. Be vigilant about potential internal and external threats. Conduct routine audits to verify compliance with your policies. Monitor digital activity to detect unusual access or downloads of sensitive data.
When an employee leaves your company, make sure they no longer have access to your systems. Retrieve company devices, revoke login credentials, and remind them of their legally binding confidentiality obligations.
Develop A Response Plan For Breaches
Even with the best safeguards, breaches can happen. Having a response plan in place assures you act quickly to mitigate damage. Work with your legal team to create a plan that outlines steps to take in case of theft or unauthorized disclosure. This might include investigating the breach, notifying stakeholders, and pursuing legal action if necessary.
Partner With Experienced Legal Counsel
Partnering with a legal team that specializes in trade secrets is paramount to safeguarding your business. At Gray Becker, P.C. we provide guidance tailored to the needs of your company. Our Austin trade secrets lawyer may assist with drafting agreements, enforcing policies, and mediating disputes.
Protecting your trade secrets is not optional, it is necessary for your continued success. Contact our professionals today to secure your company’s most valuable assets and guarantee your competitive advantage remains intact.
Contact Us
To discuss your issue with our business lawyers, contact Gray & Becker, P.C. online. Our offices are among the historic homes of Austin, and we serve clients throughout Central Texas.
