Recent trends have set the foundation for a continual surge in federal trade secret litigation.

With the digitization of intellectual property and ongoing competition across industries – among other macro trends – companies are at elevated risk of trade secret theft. In addition, a shift in patent law will likely influence how companies protect these assets and pursue remedies. Given these conditions, businesses are increasingly engaging in legal proceedings specific to trade secrets.

The premiere Trends in Trade Secret Litigation Report details the latest findings from Stout’s continual monitoring of the ever-changing federal trade secret litigation landscape. Trade secret litigation activity has increased significantly and will likely expand further as a result of: the enactment of the Defend Trade Secrets Act of 2016 (DTSA); recent patent law that will influence how businesses protect their intellectual property; and workforce mobility and technological advances that contribute to trade secret misappropriation.

The report also features the conclusions derived from Stout’s quantitative study on federal trade secret cases in which a verdict was derived or settlement information was publically available, over a 26-year period from 1990 to 2015. This in-depth research focuses on the historical impact of litigation trends related to, among other things: the types of trade secrets at issue; the types of claims; activity by industry; federal filing jurisdictions; damage awards; time to resolution; appeals; and the use of expert witnesses. With detailed data on observable trends, the study complements Stout’s ongoing examination of federal trade secret matters.

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