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Texas: New Bill Amends Trade Secrets Statute, Aligning with the Defend Trade Secrets Act

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All Employers with TX Employees

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September 1, 2017

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House Bill 1995 amends the Texas Uniform Trade Secrets Act (“TUTSA”), bringing it into closer alignment with the federal Defend Trade Secrets Act (“DTSA”).  The bill eliminates discrepancies between the TUTSA and DTSA’s definition of “trade secrets,” adds definitions for an “owner” of a trade secret, defines “willful and malicious appropriation” and “clear and convincing evidence” for the purpose of establishing willful and malicious appropriation, and further emphasizes what measures an organization must make in order to qualify information as a trade secret.

Employers Have a Right to Protect Trade Secrets in Federal Court

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May 11, 2016

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The Defend Trade Secrets Act (“DTSA”) was signed into law on May 11, 2016.  It amends the Economic Espionage Act of 1996, allowing private companies to protect their trade secrets by bringing civil lawsuits in a federal court.  This brings trade secrets into alignment with protections already in place for owners of copyrights, patents and trademarks.