Your New Orleans restaurant has never been more successful. Business is booming. People cannot get enough of your famous crawfish étouffée. With your success, you’re planning to expand into the lucrative retail hot sauce market. You have all the supply, manufacture, and distribution contracts lined up. Suddenly, Judas, your trusted sous chef for ten years, quits your business, takes your secret hot sauce recipe and your business plans, and starts his own hot sauce brand. How are you protected?
The Fifth Circuit’s recent decision in Brand Servs., L.L.C. v. Irex Corp., 909 F.3d 151 (5th Cir. 2018) addresses this issue and adds to a growing list of cases addressing whether state enactments of the Uniform Trade Secrets Act (“UTSA”) preempt common law claims for conversion of confidential business information. Continue reading “Fifth Circuit Decision Adds to Growing Body of Case Law on the Scope of Uniform Trade Secrets Act Preemption”