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ARTICLE · 29 AUGUST 2013

Trade Secrets Act Preemption - It’s Still A Mess

In 1979, the Uniform Trade Secrets Act was published in an attempt to provide a uniform legal framework for improved trade secret protection across all 50 U.S. states.

United StatesIntellectual Property

In 1979, the Uniform Trade Secrets Act ("UTSA") was published in an attempt to provide a uniform legal framework for improved trade secret protection across all 50 U.S. states. Although the UTSA has been enacted in various forms by 48 states, courts have taken inconsistent positions about whether the UTSA preempts claims for misappropriation of non-trade secret information.

On August 9, 2013, a district court in Minnesota ruled that a state law claim for conversion was preempted by Minnesota's Uniform Trade Secrets Act ("MUTSA"). The court held that MUTSA displaced "conflicting tort, restitutionary", and other state laws "providing civil remedies for misappropriation of a trade secret." The court reasoned that the plaintiff's conversion claim was preempted because it was based on factual allegations that were identical to the plaintiff's MUTSA claim. In reaching its decision, the court noted that plaintiff did not allege the conversion or misappropriation of any

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