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ARTICLE · 08 JULY 2008

Defending Trade-Secret Claims

Most executives are aware of the pain and expense of patent-infringement litigation, which can often cost a company between $3 million and $5 million just in defense costs. But many may not realize that defending claims involving trade secrets can often pose just as big a problem.

United StatesIntellectual Property

Most executives are aware of the pain and expense of patent-infringement litigation, which can often cost a company between $3 million and $5 million just in defense costs. But many may not realize that defending claims involving trade secrets can often pose just as big a problem. Confronting the trade-secret claim – even a completely meritless one – can be highly disruptive and expensive for your company.

Why? Like patent cases, trade-secret cases are easily filed but hard to defend. They often present factually complex, highly technical issues that can be difficult for judges and juries to sort through and understand. Furthermore, these cases often are brought in state courts, which may be far from the company's place of business, and be unfamiliar and sometimes unpredictable venues for companies and their corporate counsel. In addition, the fact-intensive nature of these cases means that it is

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