,,ii #aac? ,,congress #a/ ,session ,s4 #aggj ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,novemb] #ba1 #bjac,mr4 ,flake introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ! ,judici>y ,a ,,bill ,to provide = ,f$]al civil liability = trade secret misappropriation 9 c]ta9 circum/ances4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,future ( ,am]ican ,innovation & ,rese>* ,act ( #bjac or ! ,,fair ,act4 #b4 ,def9itions ,9 ?is ,act-- 7#a7 ! t]m cov]$ trade secret means a trade secret t is relat$ to or includ$ 9 a product or s]vice t is us$ 9 or reasonably anticipat$ to be us$ 9 int]/ate or =eign comm]ce2 7#b7 ! t]m improp] means-- 7,a7 includes !ft1 brib]y1 misrepres5tation1 brea* or inducem5t ( a brea* ( a duty to ma9ta9 secrecy1 & espionage ?r\gh electronic or o!r means2 & 7,b7 does n include rev]se eng9e]+ or indep5d5t d]ivation alone2 7#c7 ! t]m misappropriate means-- 7,a7 to acquire a trade secret ( ano!r by improp] means1 if ! p]son :o acquires ! trade secret kn[s or has reason to "k t ! acquisition is by improp] means2 or 7,b7 to disclose or use a trade secret ( ano!r )\t express or impli$ cons5t1 if ! p]son :o discloses or uses ! trade secret-- 7i7 us$ improp] means to acquire k ( ! trade secret2 or 7ii7 at ! "t ( ! disclosure or use1 kn[s or has reason to "k t 8 or h] k ( ! trade secret 0-- 7,i7 d]iv$ f or ?r\gh a p]son :o us$ improp] means to acquire ! trade secret2 7,,ii7 acquir$ "u circum/ances giv+ rise to a duty to ma9ta9 ! secrecy1 or limit ! use1 ( ! trade secret2 or 7,,iii7 d]iv$ f or ?r\gh a p]son :o ow$ a duty to ! p]son seek+ relief to ma9ta9 ! secrecy1 or limit ! use1 ( ! trade secret2 7#d7 ! t]m p]son means a natural p]son1 corporation1 bus9ess tru/1 e/ate1 tru/1 p>tn]%ip1 limit$ liability company1 association1 jo9t v5ture1 gov]nm5t1 gov]nm5tal subdivision or ag5cy1 or any o!r legal or comm]cial entity2 & 7#e7 ! t]m trade secret means any in=mation1 includ+ a =mula1 patt]n1 compilation1 program1 device1 me?od1 te*nique1 or process1 t-- 7,a7 d]ives indep5d5t economic value1 actual or pot5tial1 f n be+ g5]ally kn[n to1 & n be+ readily asc]ta9able ?r\gh prop] means by1 ! public or o!r p]sons :o c obta9 economic value f ! disclosure or use ( ! in=mation2 & 7,b7 is ! subject ( ef=ts t are reasonable "u ! circum/ances to ma9ta9 ! secrecy ( ! in=mation4 #c4 ,civil action 7a7 ,9 g5]al ,! own] or lawful possessor ( a cov]$ trade secret may br+ a civil action aga9/ a p]son :o misappropriates1 ?reat5s to misappropriate1 or conspires to misappropriate ! cov]$ trade secret-- 7#a7 :ile locat$ outside ! t]ritorial jurisdiction ( ! ,unit$ ,/ates2 or 7#b7 on behalf (1 or = ! b5efit (1 a p]son locat$ outside ! t]ritorial jurisdiction ( ! ,unit$ ,/ates4 7b7 ,f$]al c\rt jurisdiction ,! di/rict c\rts ( ! ,unit$ ,/ates %all h exclusive jurisdiction ( a civil action "u ?is ,act4 7c7 ,extrat]ritoriality ,a civil action "u ?is ,act may arise f conduct outside ! t]ritorial jurisdiction ( ! ,unit$ ,/ates if ! conduct1 ei!r by itself or 9 comb9ation ) conduct )9 ! t]ritorial jurisdiction ( ! ,unit$ ,/ates1 causes or is reasonably anticipat$ to cause an injury-- 7#a7 )9 ! t]ritorial jurisdiction ( ! ,unit$ ,/ates2 or 7#b7 to a ,unit$ ,/ates p]son4 #d4 ,rem$ies ,9 a civil action br\ght "u ?is ,act1 a c\rt may-- 7#a7 issue-- 7,a7 an ord] = appropriate injunctive relief aga9/ any conduct describ$ 9 section #c7;a72 7,b7 an ord] requir+ affirmative actions to be tak5 to protect a cov]$ trade secret f fur!r misappropriation2 & 7,c7 if ! c\rt det]m9es t x w\ld be unreasonable to prohibit fur!r possession1 disclosure1 or use ( a cov]$ trade secret1 an ord] requir+ paym5t ( a reasonable royalty = any ongo+ disclosure or use ( a cov]$ trade secret1 9 addition to ! damages describ$ 9 p>agraph 7#b72 7#b7 aw>d-- 7,a7 damages = actual loss caus$ by ! misappropriation ( a cov]$ trade secret2 & 7,b7 damages = any unju/ enri*m5t caus$ by ! misappropriation ( a cov]$ trade secret t is n address$ 9 comput+ damages = actual loss "u subp>agraph 7,a72 7#c7 if a trade secret is willfully or malici\sly misappropriat$1 aw>d punitive or exempl>y damages 9 an am\nt n m ?an twice ! am\nt ( ! damages aw>d$ "u p>agraph 7#b72 & 7#d7 if a claim ( misappropriation is made 9 bad fai?1 a motion to t]m9ate an injunction is made or oppos$ 9 bad fai?1 or a trade secret is willfully or malici\sly misappropriat$1 aw>d reasonable co/s & attorney's fees to ! prevail+ p>ty4 #e4 ,proc$ure 7a7 ,plead+s 7#a7 ,compla9t ,a compla9t fil$ 9 a civil action br\ght "u ?is ,act %all include a sworn repres5tation by ! pla9tiff t ! dispute involves conduct describ$ 9 section #c7;a74 7#b7 ,affirmative def5se ,x %all be an affirmative def5se 9 a civil action br\ght "u ?is ,act t ea* alleg$ cov]$ trade secret 9 dispute 0 readily asc]ta9able ?r\gh prop] means by o!r p]sons :o did n already "k ! cov]$ trade secret at ! "t ( any alleg$ misappropriation1 ?reat to misappropriate1 or conspiracy to misappropriate4 7b7 ,=um non conv5i5s ,9 consid]+ a motion to dismiss or /ay on =um non conv5i5s gr\nds fil$ 9 a civil action br\ght "u ?is ,act1 a c\rt %all-- 7#a7 give great weight to ! pla9tiff's *oice ( =um2 & 7#b7 consid] :e!r ! pla9tiff reasonably c\ld receive fair & imp>tial treatm5t 9 ! c\rts ( ! jurisdiction 9 :i* ! def5dant is domicil$4 7c7 ,anti-,suit injunctions ,9 a civil action br\ght "u ?is ,act1 ! c\rt may ent] an injunction enjo9+ a def5dant ov] :om ! c\rt has p]sonal jurisdiction f pursu+ subsequ5tly fil$ litigation 9 ano!r jurisdiction if-- 7#a7 ! p>ties are ! same 9 bo? matt]s2 7#b7 ! resolution ( ! case be=e ! enjo9+ c\rt w be dispositive ( ! action to be enjo9$2 & 7#c7 ! action 9 ! o!r jurisdiction ?reat5s ! jurisdiction ( ! c\rt or ! purposes ( ?is ,act4 7d7 ,confid5tiality ,9 any proce$+ relat+ to a civil action br\ght "u ?is ,act1 ! c\rt %all ent] any ord] & take any o!r action t is necess>y & appropriate to pres]ve ! confid5tiality ( trade secrets1 consi/5t ) ! requirem5ts ( ! ,f$]al ,rules ( ,civil ,proc$ure1 ! ,f$]al ,rules ( ,evid5ce1 & all o!r applicable laws4 7e7 ,/atute ( limitations ,a civil action br\ght "u ?is ,act may n be comm5c$ lat] ?an #c ye>s aft] ! date on :i* ! conduct describ$ 9 section #c7;a7 t =ms ! basis = ! action 0 discov]$ or by ! ex]cise ( reasonable dilig5ce %\ld h be5 discov]$4 #f4 ,seizures 7a7 ,9 g5]al ,9 a civil action br\ght "u ?is ,act1 ! c\rt may1 ^u ex p>te application & if ! requirem5ts "u subsection 7b7 are satisfi$1 issue an ord] 7ref]r$ to 9 ?is section z a seizure ord]7 provid+ =-- 7#a7 ! seizure ( any prop]ty 7includ+ comput]s7 us$1 9 any mann] or "p1 to commit or facilitate ! commission ( conduct describ$ 9 section #c7;a7 t is alleg$ 9 ! civil action2 & 7#b7 ! pres]vation ( evid5ce 9 ! civil action4 7b7 ,requirem5ts ,a c\rt may issue a seizure ord] if-- 7#a7 ! applicant provides security 9 an am\nt t ! c\rt det]m9es is adequate to pay any damages a p]son may be entitl$ to recov] z a result ( a wrongful seizure or wrongful attempt$ seizure "u ?is section2 & 7#b7 ! c\rt f9ds t specific facts cle>ly %[ t-- 7,a7 any ord] o!r ?an an ex p>te seizure ord] is n adequate to effectively cause ! cessation ( ! conduct describ$ 9 section #c7;a7 t =ms ! basis ( ! action2 7,b7 ! applicant has n publiciz$ ! reque/$ seizure2 7,c7 ! applicant is likely to succe$ 9 %[+ t ! p]son aga9/ :om seizure is s\ght misappropriat$1 ?reat5$ to misappropriate1 or conspir$ to misappropriate a cov]$ trade secret ( :i* ! applicant is ! own] or lawful possessor2 7,d7 ! applicant w suff] an imm$iate & irrep>able injury if a seizure is n ord]$2 7,e7 ! matt] to be seiz$ is locat$ at ! place id5tifi$ 9 ! application2 7,f7 ! h>m to ! applicant t w\ld be caus$ by d5y+ ! application outweighs ! h>m to ! legitimate int]e/s ( ! p]son aga9/ :om seizure is s\ght t w\ld be caus$ by grant+ ! application2 & 7,g7 if ! applicant 7 to proce$ on notice to ! p]son aga9/ :om seizure is s\ght1 t p]son1 or p]sons act+ 9 conc]t ) t p]son1 w\ld de/roy1 move1 hide1 or o!rwise make ! matt] to be seiz$ inaccessible to ! c\rt4 7c7 ,proc$ure ,a seizure ord] %all-- 7#a7 direct t s]vice ( a copy ( ! seizure ord] %all be made by a ,f$]al law en=cem5t (fic] 7su* z a ,unit$ ,/ates m>%al71 :o1 ^u mak+ s]vice1 %all c>ry out ! seizure "u ! seizure ord]2 7#b7 direct t any items seiz$ %all be tak5 into ! cu/ody ( ! c\rt2 7#c7 include a protective ord] ) respect to items seiz$1 to ensure t confid5tial1 private1 propriet>y1 or privileg$ in=mation conta9$ 9 ! items seiz$1 includ+ any su* in=mation belong+ to ! def5dant & ?ird p>ties1 is appropriately protect$ & t access to ! items seiz$ is appropriately re/rict$2 & 7#d7 specify a he>+ date1 n e>li] ?an #c days & n lat] ?an #aj days aft] ! seizure ord] is issu$1 = ! c\rt to review :e!r ! items seiz$ %\ld rema9 9 ! cu/ody ( ! c\rt4 7d7 ,ord] "u seal 7#a7 ,9 g5]al ,except z provid$ "u p>agraph 7#b71 a seizure ord]1 toge!r ) any support+ docum5ts1 %all be seal$ until ! p]son aga9/ :om ! seizure ord] is direct$ has an opportunity to conte/ ! seizure ord]4 7#b7 ,access aft] seizure ,a c\rt %all all[ a p]son aga9/ :om a seizure ord] is direct$ to h access to ! seizure ord] & any support+ docum5ts aft] ! seizure is c>ri$ out4 7e7 ,seizure he>+ 7#a7 ,date ,a c\rt t issues a seizure ord] %all hold a he>+ "u ?is subsection on ! date set by ! c\rt "u subsection 7c77#d7 unless a p>ty %[s good cause = sett+ a diff]5t date4 7#b7 ,burd5 ( pro( ,at a he>+ "u ?is subsection1 ! p>ty t obta9$ ! seizure ord] %all h ! burd5 ( prov+ t ! factual & legal gr\nds necess>y to support ! seizure ord] are /ill 9 effect4 7#c7 ,dissolution or modification ( ord] ,if a p>ty fails to meet ! burd5 specifi$ "u p>agraph 7#b71 ! c\rt %all dissolve or modify ! seizure ord] appropriately4 7#d7 ,discov]y "t limits ,! c\rt may issue an ord] modify+ ! "t limits = discov]y "u ! ,f$]al ,rules ( ,civil ,proc$ure z necess>y to prev5t ! fru/ration ( ! purposes ( a he>+ "u ?is subsection4 7f7 ,injur$ p>ty 7#a7 ,cause ( action ,a p>ty t is injur$ by a seizure c>ri$ out 9 a civil action br\ght "u ?is ,act & t prevails 9 ! civil action may br+ a civil action "u ?is subsection aga9/ ! applicant = ! seizure ord] 9 a di/rict c\rt ( ! ,unit$ ,/ates4 7#b7 ,rem$ies ,a p>ty t prevails 9 a civil action br\ght "u ?is subsection %all recov]-- 7,a7 reasonable co/s & attorney's fees incurr$ 9 def5se aga9/ ! seizure ord] describ$ 9 p>agraph 7#a7 unless ! c\rt f9ds t ext5uat+ circum/ances m]it d5y+ su* co/s & fees2 & 7,b7 lo/ pr(its & punitive damages if ! seizure ord] describ$ 9 p>agraph 7#a7 0 s\ght 9 bad fai?4