What are the laws concerning the use of confidential and proprietary information?
Washington state has strict laws regarding the use of confidential and proprietary information (CPI). An employee must be apprised of the laws concerning its disclosure and use. Under the Washington Uniform Trade Secrets Act (WUTSA), trade secrets or confidential information belonging to a business must be kept secret. It is unlawful for an employee to use the information for personal gain or for the benefit of a competitor. Furthermore, it is illegal for an employee to disclose company trade secrets or confidential information to unauthorized third parties. Unauthorized disclosure may result in the imposition of significant civil and criminal penalties. Employers have a duty to inform their employees of the confidential and proprietary information held by the company. Employees must respect the confidentiality of the information, and should not share it with anyone outside of the company. Employers also have a responsibility to protect trade secrets from being stolen from the company, and from being subsequently shared with competitors or anyone outside of the business. In the case of a breach of confidential and proprietary information, the company may pursue legal action against the offender. In general, the use of confidential and proprietary information should be done only with the permission of the employer, or in the course of the employee’s employment. If an employee violates the terms of their employment contract and discloses confidential and proprietary information without authorization, it could amount to a serious legal offense.
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