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ARTICLE · 06 APRIL 2017

Jam Recipe Yields 1st DTSA Verdict

The case is notable not merely for being the first verdict under the newest amendment to the Economic Espionage Act...

United StatesIntellectual Property

On Feb. 27, 2017, a federal jury in Pennsylvania returned the first verdict under the Defend Trade Secrets Act of 2016 and awarded what may amount to be more than $5 million in damages to the plaintiff, the creator and owner of a proprietary fig spread. The case is notable not merely for being the first verdict under the newest amendment to the Economic Espionage Act; it also stands as a reminder of the potent remedies afforded to American companies seeking to protect their trade secrets.

By way of background, on May 11, 2016, President Barack Obama signed into law the DTSA, and thereby amended the Economic Espionage Act of 1996 to create a federal civil remedy for trade secret misappropriation. Since that time, courts around the country have largely interpreted provisions of the DTSA to be coextensive with the various state laws that provide similar protections for trade secrets.1 However, no case had been brought to a jury verdict, until now.

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