,,ii #aacth ,,congress #b;d ,session ,s4 #bbfg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,april #bi1 #bjad,mr4 ,coons 7for himself and ,mr4 ,hatch7 introduced the following bill2 which was read twice and referred to the ,committee on the ,judiciary ,a ,,bill ,to modify chapter #ij of title #ah1 ,united ,states ,code1 to provide ,federal jurisdiction for theft of trade secrets4 #a4 ,short title ,this ,act may be cited as the ,defend ,trade ,secrets ,act of #bjad4 #b4 ,federal jurisdiction for theft of trade secrets 7a7 ,in general ,section #ahcf of title #ah1 ,united ,states ,code1 is amended to read as follows3 #ahcf4 ,civil proceedings 7a7 ,private civil actions 7#a7 ,in general ,an owner of a trade secret may bring a civil action under this subsection if the person is aggrieved by-- 7,a7 a violation of section #ahca7;a7 or #ahcb7;a72 or 7,b7 a misappropriation of a trade secret that is related to a product or service used in1 or intended for use in1 interstate or foreign commerce4 7#b7 ,civil ex parte order for preservation of evidence and seizure 7,a7 ,in general ,based on an affidavit or verified complaint satisfying the requirements of this paragraph1 the court may1 upon ex parte application and if the court finds that issuing the order is necessary to prevent irreparable harm1 issue appropriate orders-- 7i7 7,i7 providing for the preservation of evidence in a civil action brought under paragraph 7#a71 including by making a copy of an electronic storage medium that contains the trade secret2 or 7,,ii7 described in clause 7i7 or 7ii7 of paragraph 7#c77;,a72 and 7ii7 providing for the seizure of any property used1 in any manner or part1 to commit or facilitate the commission of a violation alleged under subparagraph 7,a71 except that the order-- 7,i7 may not provide for the seizure of any property that is merely incidental to the alleged violation unless necessary to preserve evidence2 or 7,,ii7 shall provide for the seizure of any property in a manner that1 to the extent possible1 does not interrupt normal and legitimate business operations unrelated to the trade secret4 7,b7 ,requirements for application order ,notwithstanding rule #fe of the ,federal ,rules of ,civil ,procedure1 the requirements in paragraphs 7#b7 through 7#aa7 of section #cd7;d7 of the ,trademark ,act of #aidf 7#ae ,u4,s4,c4 #aaaf7 shall apply to any ex parte application or seizure order under subparagraph 7,a74 ,any reference in such paragraphs 7#b7 through 7#aa7 of section #cd7;d7 of the ,trademark ,act of #aidf to section #cb of such ,act shall be read as references to this section1 and references to use of a counterfeit mark in connection with the sale1 offering for sale1 or distribution of goods or services shall be read as references to a misappropriation of a trade secret4 7#c7 ,remedies ,in a civil action brought under this subsection1 a court may-- 7,a7 grant an injunction-- 7i7 to prevent any actual or threatened violation described in paragraph 7#a7 on such terms as the court deems reasonable2 7ii7 if determined appropriate by the court1 requiring affirmative actions to be taken to protect a trade secret2 and 7iii7 in exceptional circumstances that render an injunction inequitable1 that conditions future use upon payment of a reasonable royalty for no longer than the period of time for which use could have been prohibited2 7,b7 award-- 7i7 damages for actual loss caused by the misappropriation of a trade secret2 7ii7 damages for any unjust enrichment caused by the misappropriation of the trade secret that is not addressed in computing damages for actual loss2 and 7iii7 in lieu of damages measured by any other methods1 the damages caused by misappropriation measured by imposition of liability for a reasonable royalty for a misappropriator's unauthorized disclosure or use of a trade secret2 7,c7 if the trade secret described in paragraph 7#a77;,b7 is willfully or maliciously misappropriated1 award exemplary damages in an amount not more than #c times the amount of the damages awarded under subparagraph 7,b72 and 7,d7 if a claim of misappropriation is made in bad faith1 a motion to terminate an injunction is made or opposed in bad faith1 or a trade secret is willfully and maliciously misappropriated1 award reasonable attorney's fees to the prevailing party4 7b7 ,jurisdiction ,the district courts of the ,united ,states shall have original jurisdiction of civil actions brought under this section4 7c7 ,period of limitations ,a civil action under this section may not be commenced later than #e years after the date on which the misappropriation is discovered or by the exercise of reasonable diligence should have been discovered4 ,for purposes of this subsection1 a continuing misappropriation constitutes a single claim of misappropriation4 4 7b7 ,definitions ,section #ahci of title #ah1 ,united ,states ,code1 is amended-- 7#a7 in paragraph 7#c71 by striking and at the end2 7#b7 in paragraph 7#d71 by striking the period at the end and inserting a semicolon2 and 7#c7 by adding at the end the following3 7#e7 the term misappropriation means-- 7,a7 acquisition of a trade secret of another by a person who knows or has reason to know that the trade secret was acquired by improper means2 or 7,b7 disclosure or use of a trade secret of another without express or implied consent by a person who-- 7i7 used improper means to acquire knowledge of the trade secret2 7ii7 at the time of disclosure or use1 knew or had reason to know that the knowledge of the trade secret was-- 7,i7 derived from or through a person who had used improper means to acquire the trade secret2 7,,ii7 acquired under circumstances giving rise to a duty to maintain the secrecy of the trade secret or limit the use of the trade secret2 or 7,,iii7 derived from or through a person who owed a duty to the person seeking relief to maintain the secrecy of the trade secret or limit the use of the trade secret2 or 7iii7 before a material change of the position of the person1 knew or had reason to know that-- 7,i7 the trade secret was a trade secret2 and 7,,ii7 knowledge of the trade secret had been acquired by accident or mistake2 7#f7 the term improper means-- 7,a7 includes theft1 bribery1 misrepresentation1 breach or inducement of a breach of a duty to maintain secrecy1 or espionage through electronic or other means2 and 7,b7 does not include reverse engineering or independent derivation2 and 7#g7 the term ,trademark ,act of #aidf means the ,act entitled ,an ,act to provide for the registration and protection of trademarks used in commerce1 to carry out the provisions of certain international conventions1 and for other purposes1 approved ,july #e1 #aidf 7#ae ,u4,s4,c4 #ajea et seq47 7commonly referred to as the ,trademark ,act of #aidf or the ,lanham ,act74 4 7c7 ,exceptions to prohibition ,section #ahcc of title #ah1 ,united ,states ,code1 is amended1 in the matter preceding paragraph 7#a71 by inserting or create a private right of action for after prohibit4 7d7 ,technical and conforming amendment ,the table of sections for chapter #ij of title #ah1 ,united ,states ,code1 is amended by striking the item relating to section #ahcf and inserting the following3 #ahcf4 ,civil proceedings4 4 7e7 ,rule of construction ,nothing in the amendments made by this section shall be construed to modify the rule of construction under section #ahch of title #ah1 ,united ,states ,code1 or to preempt any other provision of law4