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- Home
- Practices and Industries
- Litigation and Investigations
- Trade Secrets
The loss of trade secrets and other confidential information costs businesses billions of dollars each year. Protecting that information requires establishing sound practices, procedures, and policies to maintain confidentiality and reduce the prospect of misappropriation. It also requires being prepared to address breaches that occur, and to respond to claims by competitors. Our trade secrets team, including members of our data security, privacy, IP, trade, white collar, employment, corporate, insurance, public policy, and crisis management practices, advise clients on protecting their business-critical information and litigating trade secret disputes as they occur.
Gaining and maintaining the full benefit of proprietary information requires legal counsel experienced in counseling, licensing, and litigating trade secret matters, and steeped in the interplay between industry and trade secret and patent, standard setting, privacy, and antitrust law. Covington’s experience in these key areas translates into a unique strategic advantage for its clients. For example, Covington led the legislative effort to enact the federal Defend Trade Secrets Act, representing the Protect Trade Secrets Coalition of industry leaders in the technology, life sciences, manufacturing, and oil and gas sectors.
With our deep understanding of the relevant law and industries, and our collaborative culture, we team together to advise clients on issues including intellectual property portfolio and trade secret assessments, development of comprehensive compliance programs and incentives, risk management, mitigation, and insurance coverage, internal investigations, incident response and disclosure, and crisis management. We routinely advise clients regarding the assessment and protection of trade secrets in the context of corporate transactions, teaming, vendor and subcontracting arrangements, employment relationships, and litigation.
Covington trade secret litigators are successful because they combine sound tactical judgment and trial experience honed over years of experience litigating trade secret matters as well as advising clients on the creation, maintenance, and protection of confidential information across a wide range of industries. We have litigated major trade secret matters in federal and state trial and appellate courts across the United States, and before the Federal Trade Commission and the International Trade Commission.
Half-billion Dollar Trade Secrets Trial Victory for McKesson
After being retained months prior to trial following nearly a decade of litigation, Covington obtained a complete defense verdict for a subsidiary of McKesson Corporation in a bench trial in New York Supreme Court. The plaintiff had alleged breach of a non-disclosure agreement and trade secret misappropriation related to a drug discount program. Plaintiff sought the assignment of certain McKesson patents and half a billion dollars: nearly $250 million in damages and 11.5 years’-worth of prejudgment interest. PSKW, LLC v. McKesson Specialty Arizona, Inc. (S. Ct. NY).
High Profile Section 337 Dispute Between U.S. Steel and the Chinese Steel Industry
Representation of Baoshan Iron & Steel Co., Ltd. in a trade secret, antitrust and false designation of origin dispute in the International Trade Commission involving processes for making Advanced High Strength Steel. In November 2016, Sturgis Sobin, Derek Ludwin, and James O’Connell were named “Litigators of the Week” by American Lawyer for an initial determination at the ITC on behalf of our client. This was the first price-fixing case in almost 40 years at the agency, terminating U.S. Steel’s antitrust claim.
$52 Million Jury Verdict for Caliper Life Sciences in Trade Secret Misappropriation
Representation of Caliper Life Sciences in which we secured a $52 million jury verdict of trade secret misappropriation in California state court related to microfluidics technology. Two related patent infringement cases settled shortly thereafter on terms favorable to our client.
National Geographic Trade Secrets Dispute
Representation of National Geographic in trade secret litigation, including a lawsuit and an arbitration, in defending against allegations of misappropriation of trade secrets relating to a database schema and functionality and a website.
Enactment of Trade Secrets Legislation
Represented the Protect Trade Secrets Coalition in successfully seeking to enact legislation to create a federal civil cause of action for trade secret misappropriation to supplement state-level remedies and testified before the House Judiciary Committee on the need for legislation. The legislation was enacted in 2016 after being passed by the Senate 87-0 and by the House 410-2.
Confidential Settlement in "Switching Sides" Case
Represented several defendants against claims of breach of fiduciary duty, trade secret misappropriation, and patent infringement asserted by their former employer.
Video Gaming Technologies Trademark and Trade Secret Litigation
Representation of Video Gaming Technologies in trademark and trade secret litigation adverse to Castle Hill Gaming relating to Class II gaming terminals.
Trade Secret Litigation Involving Electronic Design Automation
Representation of Hewlett-Packard in a trade secret case involving electronic design automation (EDA) technology.
Huawei Technologies in trade secret lawsuits
Representation of Huawei Technologies in trade secret lawsuits against Motorola Solutions involving wireless base station technology; obtained a preliminary injunction preventing the transfer of confidential information in the context of a corporate acquisition and an award of licensing fees.
Multimillion Dollar Jury Verdict in Trade Secret Dispute for Former CEO of a Medical Device Company
Representation of the former CEO of a medical device company in defeating claims of theft of trade secret and employment contract claims, and obtaining a multimillion dollar jury verdict on counterclaims based on a technology licensing agreement in which the CEO (who was also the inventor of a heart valve) licensed the technology to the company.
Settlement in Federal Trade Secrets Case
In a trade secrets case relating to a $2B classified procurement, convinced the court to dismiss all but one claim asserted by the plaintiff against its former employee, our client. The plaintiff then dismissed the remaining claim with no payment by our client.
April 25, 2019, Covington Alert
On April 23, 2019, the Standing Committee of the National People’s Congress of China passed a bill amending China’s Anti-Unfair Competition Law (“AUCL”). Changes made by the amendment bill took effect on the same day. Further to the last amendment to the AUCL in 2017, the newly introduced burden-of-proof shifting and punitive damages rules will significantly ...
Insider Threats to Your Trade Secrets - Prevention and Response
April 9, 2019
Covington partners Trisha Anderson, Robert Haney, and Dan Johnson hosted a webinar on the latest insights regarding trade secrets, including: Avoiding theft of trade secrets and other confidential information by employees, contractors and competitors; Litigation and/or other actions that should be taken when the secret may be out; ...
Senior Commercial Litigator Joins Covington
April 4, 2019
NEW YORK—Teena Sankoorikal has joined Covington as a partner in the Commercial Litigation Practice in New York. Ms. Sankoorikal is a commercial litigator who has handled many high-profile, complex civil cases in the areas of patent, trade secret, copyright, and other intellectual property disputes, business torts, antitrust, breach of contract, and fraud. Over ...
Chancery Tosses Derivative Suit Over Uber-Ottomotto Deal
April 1, 2019, Law360
We secured an important win for Uber in a case involving an investor’s derivative lawsuit.
March 30, 2017
SILICON VALLEY—Former Patent Trial and Appeal Board (PTAB) judges Peter Chen and Scott Kamholz have joined Covington’s Patent Office Trials Practice. Mr. Chen and Dr. Kamholz are the only former PTAB judges to enter private practice who have overseen Leahy-Smith America Invents Act of 2011 (AIA) trial proceedings from institution through final decision. Peter ...
- The National Law Journal - Recognized on the "Intellectual Property Hot List" (2014, 2016)
- Legal 500 US - Nine lawyers recognized for Trade Secrets (2017)
- Legal 500 UK - IP (2011-2016)
- Chambers USA - America's Leading Business Lawyers (2016)
- Chambers Global
- Data Protection (Global-wide) (2016-2019)
- Intellectual Property (USA) (firm and two lawyers individually recognized) (2016-2018)
- The Best Lawyers in America - Multiple lawyers recognized for Intellectual Property Law (2007-2019).
- Intellectual Asset Management (IAM) Magazine - Recognized in the “IAM Patent 1000 - The World’s Leading Patent Practitioners” for its United Kingdom - England Transactions and Litigation practices; two lawyers recognized in the area of Transactions (2012-2014) and one in the area of Litigation (2014).
- Intellectual Asset Management (IAM) Magazine - Recognized in the “IAM Patent 1000 - The World’s Leading Patent Practitioners” for its DC Metro Area prosecution practice; one lawyer recognized in the area of prosecution (2014).
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