President Obama signed the Defend Trade Secrets
Act ("DTSA") into law on Wednesday, May 11, 2016.
Members of the auto industry spend significant time and money
developing trade secrets that give them a competitive
advantage. The DTSA provides the auto industry with a new
method to protect its valuable trade secrets. Prior to the
DTSA, most trade secret cases were handled by state courts under
individual state laws. With the passage of the DTSA, employers
can now go into federal court to seek an injunction and/or damages
to protect their trade secrets.
Notably, the DTSA provides, in extraordinary circumstances, a
method for employers to seek the seizure of property necessary to
prevent the propagation or dissemination of the trade secret that
is the subject of the action. While the DTSA provides additional
protections for employers, the DTSA also provides immunity from
liability for confidential disclosure of a trade secret to the
government or in a court