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Trade Secret Misappropriation Claims

Can I sue a supplier for using my drawings?

Yes, if you provided drawings under a confidentiality agreement for manufacturing purposes only, and they used them for their own production, this constitutes misappropriation and breach of contract.

What is "Inevitable Disclosure"?

It's a legal doctrine arguing that a former employee cannot work for a competitor without inevitably using your trade secrets. While hard to prove, it can support non-compete enforcement in specific cases.

How to calculate damages for misappropriation?

Damages can include your actual loss, the unjust enrichment (profit) gained by the infringer, or a reasonable royalty fee that they would have paid to license the secret legally.

Is it misappropriation if I found the document on the street?

If the information was not protected by reasonable measures (e.g., left in a public place), it may lose trade secret status. However, knowing it was confidential and using it might still be actionable in some contexts.

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Trade Secret Misappropriation Claims involve some of the most critical and complex legal tools for business protection. In today's competitive environment, where a company's primary value often lies not in tangible assets but in information (know-how, client lists, algorithms, recipes), the illegal acquisition, use, or disclosure of this information can be devastating. Misappropriation refers to acts such as industrial espionage, breach of confidentiality agreements, or obtaining information through hacking. This service involves representing the aggrieved party in court, demanding damages, and seeking injunctions to prevent further dissemination of the information. Conversely, the service also covers defense against baseless accusations where a company or individual is unfairly charged with using another's trade secrets.

What Does This Service Cover?

Litigators registered on Legal.ge offer full-scale court representation and pre-trial procedures:

  • Filing Lawsuits: Investigating factual circumstances, gathering evidence, and filing claims regarding the illegal use of trade secrets.
  • Claiming Damages: Conducting financial audits to calculate incurred losses (including lost profits) and providing legal justification.
  • Seeking Injunctions: Applying to the court to immediately ban the use of stolen information pending the outcome of the dispute, which is critical for stopping the damage.
  • Defense Against Claims: Developing a defense strategy if your company is accused of misappropriation (e.g., proving the information was public or independently developed).
  • Evidence Gathering: Examining digital footprints, appointing experts, and questioning witnesses to identify the source of the leak.
  • Negotiation and Settlement: Resolving disputes out of court in exchange for compensation or other terms.

Real-World Scenarios Where You Need This Service

Trade secret disputes often arise in the following scenarios:

  • Former Employee Joining a Competitor: A key manager leaves the job and takes a client database or strategic plans to use in their new role.
  • Failed Negotiations: You disclosed an idea to an investor or potential partner under an NDA, but the deal fell through, and the partner implemented your idea themselves.
  • Industrial Espionage: You discover a competitor obtained your technological know-how through illegal means (wiretapping, hacking).
  • Supplier Dishonesty: A factory manufacturing products for you used your blueprints to produce their own goods.

Georgian Legal Framework and Regulations

These disputes are regulated by the Civil Code of Georgia and the Law on Competition. The Civil Code defines what constitutes a trade secret (information with commercial value, not public, and for which the owner has taken reasonable protective measures). Legislation provides for liability both for breach of contractual obligations (e.g., violating an NDA) and for tortious damages. The Civil Procedure Code of Georgia is crucial for determining the burden of proof and rules for interim measures. In some cases, misappropriation may also fall under the Criminal Code.

Service Process Step-by-Step

The litigation process is complex and requires rapid response:

  1. Fact Analysis and Audit: The lawyer assesses whether the information meets the legal criteria for a "trade secret."
  2. Evidence Preservation: Notarization, IT forensics, and other methods to document the breach.
  3. Cease & Desist Letter: An official demand to the infringer to stop the illegal activity.
  4. Filing Suit and Interim Measures: Applying to the court and requesting asset freezing or injunctions.
  5. Court Hearings: Litigation and presentation of arguments.
  6. Enforcement: Executing the court decision.

Why Choose Legal.ge?

Trade secret disputes require specific knowledge in intellectual property and civil law. Legal.ge gives you access to experienced litigators with practice in such complex disputes. Lawyers selected through our platform will help you quickly stop information leaks and maximize compensation for incurred losses.

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