Defenses to Trade Secret Actions Self-Quiz






Which of the following is NOT a defense to a trade secret lawsuit under the Uniform Trade Secrets Act?
Choice 1 Plaintiff’s failure to maintain appropriate security.
Choice 2 Being employed by the plaintiff (who claims its secret was stolen) at the time the information was acquired and making use of that information in the daily course of your job.
Choice 3 Defendant’s non-commercial use of the information.
Choice 4 Both B and C.
John is an employee at Bars-R-Us, a company which manufactures metal bars. When he was first hired, he signed an agreement which stated that he would ?not reveal the company?s special metal working processes for a period of 6 months following employment.? The processes which should not be revealed are contained in a manual written by the company?s technology department. One week after he is fired, John photocopies his manual and mails it to one of the company?s competitors. Which of the following might give the company a cause of action against John:
Choice 1 Copyright law.
Choice 2 Contract law.
Choice 3 Trade secret law.
Choice 4 All of the above.
Sally is looking for work. She has been unemployed for several months and is about to be evicted, along with her 2 year old son. When she approaches a local diner about a waitress job she is told by the overweight, heavy-drinking owner that as a condition of employment, she would have to agree not to disclose the ingredients for their ?special sauce? (it?s 2 parts ketchup, 1 part mustard, 1 part mayo). She signs the agreement, but just days into her job, is approached by Sluggy, who whispers in her ear that he will pay her for the secret sauce recipe. If she sells the recipe and is sued for breach of contract, she can defend herself based on:
Choice 1 Unconscionability, because the employer took advantage of her dire need for work.
Choice 2 Duress, because she was facing potential eviction.
Choice 3 Unfair surprise, because she did not expect to actually be courted by someone seeking the secret sauce recipe.
Choice 4 None of the above.

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