What is the Defend Trade Secrets Act of 2016?

The Defend Trade Secrets Act of 2016 (DTSA) is a federal law in the United States that provides civil remedies for the misappropriation of trade secrets. The act, which was signed by President Obama in 2016, applies to all 50 states, including California. The DTSA creates a federal private cause of action for trade secret misappropriation, which allows trade secret owners to bring lawsuits in federal court. This act also allows for civil seizure orders when there is an imminent risk of misappropriation. Additionally, this act provides immunity to whistleblowers who disclose trade secrets in confidence to the government or an attorney, as long as the disclosure is necessary to reveal criminal activity. Generally, a “trade secret” is defined as any information that is used in business, is not generally known by the public or those in the same industry, and is the subject of reasonable efforts to keep it confidential. The DTSA provides remedies for trade secret misappropriation, including injunctions, double damages, attorneys’ fees and costs, and punitive damages in some cases. All in all, the DTSA of 2016 is an important federal law protecting trade secrets. The DTSA serves to encourage the protection of trade secrets by providing the means to bring a lawsuit in federal court and to provide incentives to whistleblowers who reveal criminal activity.

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What is the Defend Trade Secrets Act of 2016?

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