Could Your Business Benefit from Trade Secrets Protection?
Most business owners balance their time between casting vision for their company and giving attention to daily operations that require their attention. However, one item that is often left for a future date is taking into consideration the legal protection necessary for a company’s trade secrets, including intellectual property.
Intellectual property, as defined by the World Intellectual Property Organization (WIPO), refers to creations of the mind such as inventions, literary and artistic works, and symbols, names, and images used in commerce. In the United States, intellectual property is protected by law under one of the following classifications: patents, trademarks, copyrights, or trade secrets. In Georgia, trade secrets are protected under the Georgia Trade Secrets Act of 1990.
Protection of trade secrets, in a broad sense, includes protecting confidential business information that yields a competitive advantage for the company to which it belongs. Interestingly, many businesses possess information that qualifies for protection as a trade secret, but they are unaware. A few examples the WIPO classifies as information often, but not always, considered as trade secrets include sales methods, distribution methods, consumer profiles, advertising strategies, lists of suppliers and clients, and manufacturing processes.
There are four precautionary measures suggested by the WIPO that businesses should take to legally protect their intellectual property:
- Firstly, considering whether the secret is patentable and, if so, whether to apply for a patent or seek protection as a trade secret.
- Secondly, making sure that a limited number of people know the trade secret and that all those who do are well aware that it is confidential and protected information.
- Thirdly, including confidentiality agreements within employees’ contracts. Under the law of many states, however, employees owe confidentiality to their employer even without such agreements. The duty to maintain confidentiality on the employer’s trade secrets generally remains, at least for a certain period of time, even after the employee has left the employment.
- Fourthly, signing confidentiality agreements with business partners whenever disclosing confidential information.
As a business owner, these precautionary measures may seem overwhelming or time consuming. At Spivey, Pope, Green & Greer, we have given counsel to clients pertaining to unauthorized use and violation of trade secrets, and we understand the risks involved in ignoring precautionary measures. We will assist your business in developing appropriate employee contracts, confidentiality agreements, and whatever else deemed legally necessary to protect your valuable intellectual property.