In the recent In-House Connect webinar “Understanding Whistleblower Immunity Under the Defend Trade Secrets Act (DTSA),” intellectual property experts Chris Buntel and Brad Scheller provided crucial insights into the intricacies of trade secret management and whistleblower protections under the DTSA. The session, hosted by Shai Mehani, delved into a timely and complex subject, equipping attendees with practical advice on managing trade secrets and navigating whistleblower immunity.

Here are the five key takeaways from the webinar:

Importance of Whistleblower Immunity Notices in Agreements: Employers must inform employees about whistleblower protections afforded under the DTSA to seek enhanced damages in litigation. Including notice provisions in employment agreements and handbooks is vital. Many attendees were unaware of this requirement, highlighting a critical area for legal compliance.

Proactivity in Trade Secret Management: Courts expect companies to actively manage their trade secrets for favorable outcomes in litigation. The best time for implementing a robust trade secret program was five years ago; the second best time is now. Regular audits, strong policies, and thorough documentation are essential.

Navigating Whistleblower Immunity and Misappropriation: DTSA Section 1833(B) offers immunity from civil and criminal liability for specific disclosures to attorneys or government officials. This protection encourages employees to report suspected violations without fear of retaliation. It’s imperative for companies to stay informed about the scope and application of these protections.

Independent Contractors and Immunity Considerations: Whistleblower immunity isn’t limited to regular employees; it can also extend to independent contractors. Employers should ensure their agreements reflect this to mitigate risks associated with trade secret misappropriation.

Liability for New Employers: New employers can face significant liability if they misappropriate trade secrets from a previous employer, especially if actions were willful or malicious. Ensuring new hires agree not to disclose their former employers’ trade secrets is a best practice to avoid potential legal pitfalls.

By integrating these takeaways, employers can better navigate the complexities of trade secret protection under the DTSA and enhance compliance with whistleblower immunity requirements. Staying proactive, informed, and consultative with experienced legal professionals will help mitigate risks and secure intellectual property.

Missed it? You can watch the recording via IHC On-Demand!