On July 29, 2015, the Defend Trade Secrets Act of 2015 was in introduced in the U.S. Senate and U.S. House of Representatives to establish a federal civil cause of action for trade secret misappropriation. The bill does not preempt state law. IPO supports legislation along the lines of the new bill and is studying the details. Lead sponsors are Senators ORRIN HATCH (R-Utah) and CHRIS COONS (D-Del.) and Reps. DOUG COLLINS (R-Ga.) and JERROLD NADLER (D-N.Y.). The bill has a large, bipartisan group of cosponsors. Bill numbers are not yet available. The bill is substantially similar to legislation introduced in the Senate and the House last Congress and approved by the House Judiciary Committee last September. The few differences include limiting the basis on which an ex parte seizure can be obtained, so that it can only be used to prevent the propagation/dissemination of the trade secret, and requiring seizure orders to be the “narrowest” necessary to achieve their purpose.

To protect seized electronics from being hacked, the bill prohibits seized material from being connected to the Internet until a hearing or consent by both parties and explicitly authorizes either party to move the court to encrypt a seized device. The bill includes language borrowed from the Lanham Act that requires a showing at the hearing that the facts supporting the seizure are still in effect.

The following topics will be covered during the webinar
  • Background: nature of trade secret rights, reason for the Economic Espionage Act of 1996, calls since then for a private right of action;
  • Earlier Trade Secret Act Efforts
  • 2014 prior bill:  Why did it fail to pass—what role did a fear of a “parade of horribles” come into play
  • Current Defense of Trade Secrets Act of 2015: drawing from Uniform Trade Secrets Act and other laws
  • Is there a threat to the mobility of labor force under the new Act: relationship of the pending bill to noncompetes; how does it interface with the “inevitable disclosure” doctrine?
  • Is there a threat to public patent disclosure and the interplay with Kewanee Oil Co. v. Bicron Corp., 416 U.S. 470 (1974)?
  • Will there be a new class of “trade secret trolls” created if the Defense of Trade Secrets Act of 2015 passes?
  • Global economy requires a uniform federal trade secrets statutory structure, as the 50 states and territories are all different in how they protect and handle trade secret disputes.
  • The new federal trade secret Act viewed in the light of the America Invents Act and how a federal trade secrets scheme may be necessary in view of the increasingly restrictive view of patent eligibility and enforceability—is the Guild system set to make a comeback? 
Seminar Information
Date Presented:
October 14, 2015 1:00 PM Eastern
1 hour, 30 minutes
Registration Fee:
October 2015: Defense of Trade Secrets Act of 2015: What does it mean to industry, academics, and competition?
Speaker Information
Brad Olson   [ view bio ]
James Pooley   [ view bio ]
Gene Quinn   [ view bio ]
Individual topic purchase: Selected
Licensing Executives Society (USA & Canada)
CLE (California): 1.50
LES Member Price:$0.00
Non-Member Price:$0.00