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Trade Secret Litigation Defense

What qualifies as a "Trade Secret" in court?

Information qualifies if it has commercial value because it is secret, is not generally known to the public, and is subject to reasonable efforts (like NDAs and passwords) to maintain its secrecy.

Can I get an injunction to stop a competitor from using my secret?

Yes, courts can issue preliminary injunctions to halt the use or disclosure of trade secrets immediately while the lawsuit is ongoing, preventing further damage to your business.

Is "Reverse Engineering" a valid defense?

Yes, if the defendant can prove they discovered the information by dismantling and analyzing a publicly available product (reverse engineering), it is not considered misappropriation under Georgian law.

What if there was no signed NDA?

While an NDA makes the case stronger, trade secret protection can still apply if you can prove the information was confidential and the recipient had a duty of trust (e.g., an employee or fiduciary) not to disclose it.

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Trade Secret Litigation Defense is a legal battle to protect a company's most valuable intangible assets—know-how, client databases, algorithms, and business plans. In Georgia, where competition is growing, cases of former employees or partners misappropriating confidential information are common. Litigation can be two-sided: you suing someone for theft, or conversely, you being sued baselessly. In both cases, success depends on how well the documentation (NDAs) was executed and the information protected. The role of a qualified lawyer is crucial in obtaining damages and preventing further dissemination of the information.

What Trade Secret Litigation Services Cover

Specialists on Legal.ge offer full litigation services:

  • Evidence Collection: Analyzing digital footprints (logs, emails) to confirm the fact of data exfiltration.
  • Interim Measures: Applying to the court to immediately prohibit the defendant from using the information until a final decision is reached (injunction).
  • Defense Against Accusations: If you are accused of using someone else's secret, the lawyer works to prove that the information was public or independently created by you.
  • Damage Calculation: Conducting financial expertise to calculate actual damages and lost profits.
  • Court Representation: Protecting client interests in all court instances.

Practical Examples and Scenarios

Litigation usually arises from the following situations:

  • Employee Betrayal: Before leaving, a sales director emailed the company's exclusive client list and pricing strategy to a personal account, then opened a competitor company. The main evidence in court will be the IT audit report.
  • Industrial Espionage: A competitor bribed your technologist to obtain a manufacturing recipe.
  • Reverse Engineering Dispute: Company A sues Company B for stealing technology. Company B's lawyer argues they created the technology through legal "reverse engineering" (dismantling and studying the product), which is not a violation.

Georgian Legal Framework

Disputes are regulated by the Law of Georgia on Trade Secrets and the Civil Procedure Code. In court, the plaintiff must prove three things: 1. The information was indeed a secret; 2. The company had taken "reasonable measures" (e.g., NDAs, passwords) to protect it; 3. The defendant obtained or used the information illegally. If the company cannot prove the existence of "reasonable measures," the court will not satisfy the claim, even if the theft is evident. It is also possible to initiate a criminal case under the relevant article of the Criminal Code.

The Process: How Litigation Works

The process requires a quick response:

  1. Preliminary Assessment: The lawyer assesses whether the information has trade secret status under the law.
  2. Cease and Desist: An official letter is sent to the infringer demanding they stop using the information.
  3. Filing a Lawsuit: A claim for damages and an injunction is filed in court.
  4. Trial: Arguments, expertise, and witness cross-examination.

Why Legal.ge?

Trade secret litigation is one of the most complex categories because it is often difficult to prove the amount of damage. Legal.ge gives you access to experienced litigators who know how to collect evidence and protect your business from unfair competition. Find your defender on Legal.ge.

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