Federal Trade Secrets Bill Clears Important Hurdle
Last week, the Senate version of the Defend Trade Secrets Act (S. 1890) was passed with bipartisan support by the Senate Judiciary Committee. As we have previously discussed, the bill is aimed at addressing alleged inadequacies in U.S. law through the creation of a federal private right of action for trade secret misappropriation. The legislation would also provide injunctions to preserve evidence and prevent disclosure, and damages to account for economic harm to plaintiffs whose trade secrets are stolen.
Having cleared the Judiciary Committee — a step that eluded similar bills in recent years — the bill now could be brought by Senate Majority Leader Mitch McConnell to the Senate floor for a vote, and odds are that it could pass.
The counterpart bill in the House of Representatives remains for now in the Subcommittee on Courts, Intellectual Property and the Internet, but passage of the bill in the Senate could spur the Subcommittee to act.
Stay tuned for further developments on this potentially far-reaching legislation.