Trade Secrets

Trade secrets are all forms and types of financial, business, scientific, technical, economic or engineering information, including patterns, plans, compilations, program devices, formulas, designs, prototypes, methods, techniques, processes, procedures, programs, or codes whether tangible or intangible, and whether or how stored, compiled, or memorialized physically, electronically, graphically, photographically or in writing, which the owner has taken reasonable measures to protect; and has an independent economic value. “Trade secrets” are commonly called classified proprietary information, economic policy information, trade information, proprietary technology, or critical technology.

Theft of trade secrets occurs when someone (1) knowingly performs targeting or acquisition of trade secrets or intends to convert a trade secret to (2) knowingly benefit anyone other than the owner. Commonly referred to as Industrial Espionage. (Title 18 U.S.C., SECTION 1832).

How to Protect Your Business from Espionage:

  1. Recognize there is a real threat.
  2. Identify and value trade secrets.
  3. Implement a definable plan for safeguarding trade secrets.
  4. Secure physical trade secrets and limit access to trade secrets.
  5. Confine intellectual knowledge.
  6. Provide ongoing security training to employees.

Last Modified: December 5th, 2009