ARTICLE · 30 JUNE 2017

Amendments To Texas UTSA Bring It Closer In Line With DTSA, But Differences Remain

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Just four years after the Lone Star State ended its holdout by becoming the 48th State to adopt the Uniform Trade Secrets Act, Texas passed a bill to amend its enactment.

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Trade Secrets Watch

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Article by: Daniel Corbett

Just four years after the Lone Star State ended its holdout by becoming the 48th State to adopt the Uniform Trade Secrets Act, Texas passed a bill to amend its enactment. The bill was signed by Texas Governor Greg Abbott on May 19, 2017, and will take effect on September 1, 2017.

The amended Texas UTSA provides definitions of several key terms. It defines "willful and malicious misappropriation" and clarifies that the standard for proving such misappropriation is by clear and convincing evidence. The amended law also defines the term "owner" in connection with trade secrets: the holder of legal or equitable title or someone with a right to enforce an interest in a trade secret. Finally, the law codifies a broader definition "trade secret": any form or type of information whether tangible or intangible, and stored in any way.

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