CFAA

Trade secret law and the Computer Fraud and Abuse Act (Part 2)

Under the CFAA, “[a]ny person who suffers damage or loss by reason of a violation of this section may maintain a civil action against the violator to obtain compensatory damages and injunctive relief or other equitable relief.”[1] To utilize this provision in the context of trade secret misappropriation a plaintiff must satisfy the many requirements of section 1030(g). (more…)

Trade secret law and the Computer Fraud and Abuse Act (Part 1)

At first glance, trade secret law and the CFAA could not be more different. Trade secret law is based on state law, while the CFAA is a federal law. The policies behind trade secret law general follow a state’s desire to incentivize innovation and reduce unfair competition, while also respecting the rights of employee and the greater public to use public information.[1] By contrast the CFAA was originally passed to address the relatively new threat of computer hacking of government and financial institutions.[2] Yet over the past several decades, as computers have emerged as ubiquitous tools used by nearly every business in the country, and with a series of amendments to the CFAA, the paths of trade secret law and the CFAA have converged. (more…)