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Exam 22: Trade Secrets Law

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Question 21

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Google has a "top secret" plan to revamp its search engine results and rankings. It has disclosed the information to five people in the Marketing Division of the company and to ten people in the New Products and Engineering Division of the company. Discuss whether this disclosure destroys the trade secret status of the information.

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This limited disclosure would likely be ...

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Question 22

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Most companies require their employees to sign agreements relating to the confidentiality of information. There are usually four topics that are covered by such agreements. Identify three of these topics.

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These agreements usually inclu...

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Question 23

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Some courts may issue injunctions to prevent ___ ___ of a trade secret, reasoning that even if a former employer cannot show a particular secret has been taken, it is nearly always likely that key employees will eventually disclose what they know to a new employer.

To be protected, a trade secret must be registered with the FTC.

A court has determined that a period of non competition (three years) is too long, so it is reforming the agreement to "save" the agreement and make it fit the parties' intentions. This action by the court is called ______ .

A trade secret must be subject to extraordinary measures to maintain its secrecy.

Although copyright law does not protect ideas, trade secret law does.

In some states, noncompetition agreements are so disfavored that they are rarely enforceable.

To be protected as a trade secret, there must be absolute secrecy of the information sought to be protected.

How would a company go about maintaining trade secret status for its proposed trademark for a new car, and when would trade secret status terminate?

Independent creation of information is not a defense in trade secret litigation cases.

ABC Inc. hired Kaitlyn in 2014. In 2016, the company presented her with a noncompete agreement and said, "Here-sign this." Kaitlyn was concerned she'd be fired it she did not sign the agreement, so she signed it. Discuss whether the agreement is valid.

Like trademarks, copyrights, and patents, trade secrets are governed by federal law.

Why do many states strongly disfavor noncompete agreements and why do courts construe such agreements very strictly?

Apple is planning the launch of a new cell phone. Those who have access to the information about the product use computers that are not password protected, have no virus protection, and are not encrypted. Discuss whether Apple's approach is sufficient to protect the information.

Generally, if there is doubt or ambiguity in a noncompete agreement, courts will construe it against an employer and in favor of the employee.

Hank sent an unsolicited manuscript for a new sitcom to ABC. Hank heard nothing from ABC, but the next year he discovered that ABC's new sitcom bears an uncanny resemblance to the sitcom in the manuscript he sent to ABC. Discuss whether Hank has any rights against ABC and what theories courts rely on in such cases.