Trade Secrets and Restrictive Covenant Litigation

Trade secrets and other proprietary information are valuable intellectual property assets that help companies establish and maintain a competitive edge. With the rise of digital technology, electronic communications, and aggressive competition, companies face increased risks of losing their assets to former employees, vendors, contractors, and other entities with access to private and sensitive information. McKool Smith’s lawyers act quickly and effectively to limit potential risks and protect our clients’ interests, whether by seeking temporary restraining orders, preliminary injunctions, and/or expedited discovery orders.

Our trial lawyers have significant experience initiating and defending claims over trade secrets, unfair competition, covenants not to compete, duty of loyalty and other issues related to transitioning key employees. In addition, we develop confidentiality agreements, non-solicitation agreements, privacy policies, and systems to prevent unwanted disclosure of confidential information.

Representative Matters

Our attorneys’ trade secret litigation experience includes the following matters, among others:

• Arconic, Inc. (f/k/a Alcoa). Representation of plaintiff Arconic against Universal Alloy Corporation in a trade secret suit filed in the Northern District of Georgia concerning aluminum aerospace parts.
• Halliburton. Representation of Halliburton in defense of a trade secret suit filed by a former supplier alleging misappropriation of trade secrets involving technology related to the separation of gas from fluids downhole in oil wells. 
• Lockheed Martin Corporation. Representation of Lockheed in complex commercial litigation involving antitrust, anti-competition, and trade secrets disputes related to various aircraft parts and systems.
• Safeway, Randall’s Food & Drug, and Blackhawk Network et al. Representation of Safeway, Randall’s Food & Drug, Blackhawk Network, and Blackhawk Marketing in a complex commercial and trade secret matter and patent infringement action asserted by Excentus involving fuel dispensing systems and product discount/incentive methods and systems.
• Omni Financial. Defended Omni Financial, a national lending company, against allegations of trade secret and trade dress infringement in 2002. Following a one-week bench trial in Kansas City, the court found in favor of Ted’s client on all contested issues and entered a take-nothing judgment.
• Clark Construction Group. Representation of Clark Construction Group in patent and trade secret litigation in District Courts and the United States Court of Federal Claims.
• Ericsson. Representation of Ericsson, as both plaintiff and defendant, in the groundbreaking patent and trade secret litigation between Ericsson and Qualcomm involving more than ten significant patents pertaining to the IS95 and GSM cellular industry standards, including representation at the United States Patent Office in connection with getting Ericsson’s asserted patents reissued.   
• Bankruptcy Liquidating Trustee for Excite@Home. Served as counsel for the plaintiff bankruptcy trustee (for the company’s claims) in a misappropriation of trade secrets concerning high speed internet network design and breach of fiduciary duty case. A highly favorable settlement  was reached on the eve of trial.
• Finmeccanica.  Representation of Finmeccanica and Ansaldo Ricerche in trade secret litigation against General Motors in the Eastern District of Virginia and Central District of California involving axial flux permanent magnet motor technology for in-wheel use in powering the next generation in hybrid and electric vehicles.
• Medtronic Vascular, Inc. Representation of Medtronic in a dispute involving patent applications for stent devices with porous layers for eluting therapeutic agents. The University of Texas alleged breach of contract, fraud, conversion, misappropriation of trade secrets, misjoinder of inventors, and correction of inventors. The case settled favorably for Medtronic, including the dismissal of all of the University of Texas's claims.
• Versata. Representation of Versata in a jury trial against Cars Direct for patent infringement and trade secret misappropriation.
• Cogent Systems. Prosecution of claims in state court on behalf of Cogent Systems, a publicly-traded automated fingerprint identification system company, against Northrop Grumman for trade secret misappropriation in connection with a $250 million fingerprint identification contracts in the UK.
• StarSight Telecast. Representation of StarSight Telecast in securing an arbitration award against General Instrument in connection with a substantial trade-secret dispute involving electronic program guide technology.  The amount of the award is subject to a confidentiality agreement.
• DGI Technologies.  Representation of DGI Technologies in defense of suit filed by  Alcatel concerning complex copyright, trade secret, and anti-trust matters.  On appeal, our lawyers successfully argued for the first application of the doctrine of copyright misuse in the fifth circuit.  
• Ultravision Technologies, LLC v. Lamar Advertising Co., et al.  Representation of Ultravision in  asserting patent, trade secret, and contract claims against supplier, distributor, and user of patented LED billboard lighting technology.
• Seagate Technology Litigation. Representation of Seagate Technology in dispute against Western Digital Corp. concerning misappropriation of trade secrets.