On January 26, 2023, Cigna Corp. (“Cigna”) sued CVS Health Corp. (“CVS”) and its newly hired chief product officer Amy Bricker (“Bricker”), in the US District Court for the Eastern District of Missouri, for allegedly violating her non-compete agreement with Cigna. The complaint was filed three (3) weeks after the
Non-Competes
Federal Trade Commission Approves Final Rule Banning Most Noncompetes
By Allan Bloom, Steven Hurd, Steven J. Pearlman & Scott Tan on
On April 23, 2024, the Federal Trade Commission (“FTC”) voted 3-2 to issue a proposed final rule (“Final Rule”), which, absent a successful legal challenge, will ban most noncompete agreements in the United States.
Despite more than 26,000 comments from the public, the Final Rule does not narrow the rule…
CA Federal Court Awards Biomedical Companies $62M Following Jury Trial Involving Confidentiality-Related Claims
By Isaiah D. Anderson & Steven J. Pearlman on
On November 1, 2023, a jury in the U.S. District Court for the Central District of California awarded damages to Skye Orthobiologics, LLC (“Skye”) and Human Regenerative Technologies, LLC (“HRT”) for breach of contract, breach of fiduciary duty, and breach of duty of loyalty by Skye’s former employee (“Defendant”). While…
Court Finds Access to Botox Trade Secrets and Similarity of Competitor Product Supported Inference of Trade Secrets Misappropriation
By Alyson Tocicki & Baldassare Vinti on
Proving access to and use of trade secrets are core elements in a trade secrets misappropriation case. Recent rulings in a trade secrets action filed by Allergan against its competitor Revance Therapeutics (“Revance”) provide helpful guidance on what is sufficient to plead these elements. There, the court explained what facts are—and…
Trade Secret Wars Continue With Tech Companies Battling For Talent
By Edward Wang & Baldassare Vinti on
In an era where trade secret misappropriation battles can shape corporate landscapes, the Apple v. Rivos case stands as a stark reminder of the importance of diligent onboarding practices when it comes to trade secrets. In this case, the court’s scrutiny of employee conduct underscores a crucial lesson: companies should…
Court Rules that Patient List and Related Medical Practice Information Qualify as Trade Secrets
By Margaret Ukwu & Baldassare Vinti on
The 2016 enactment of the Defend Trade Secrets Act (“DTSA”) has led to an increase in trade secret litigation. The DTSA codified into federal law the right of an owner of a trade secret to sue in federal court when its trade secret had been misappropriated. Prior to the DTSA…
Four Key Takeaways from the FTC Director’s Remarks on the Proposed Rule to Ban Non-Compete Agreements
On January 11, 2023, Elizabeth Wilkins, the FTC’s Director of the Office of Policy Planning, spoke to the Capitol Forum about the FTC’s proposed rule to ban non-compete agreements. This conversation was the most significant discussion of the proposed rule by the FTC since it was announced on January…
Federal Trade Commission Proposes Sweeping Ban on Non-Compete Clauses
By Steven Hurd & Scott Tan on
On January 5, 2023, the Federal Trade Commission (“FTC”) proposed an expansive new rule which would impose a near-complete ban on the use of non-competes (the “Proposed Rule”) by employers. The Proposed Rule is the culmination of the FTC’s recent efforts, following President Biden’s July 9, 2021 Executive Order on…
Failing To Take Proper Precautions, Hooked Media Lets Trade Secret Misappropriation Claim Off the Hook
By Russell T. Gorkin on
Late last year, a California appellate court reaffirmed longstanding principles that have important lessons for employers hoping to prevent their employees from taking trade secrets with them if they leave to work for a competitor.
In Hooked Media Group, Inc. v. Apple Inc., Hooked Media Group, Inc. (“HMGI”), a…