You’ve worked hard to build your company. You’ve established your brand as a market leader and have carefully put together a strong business reputation. For many Connecticut businesses, part of that effort is invested in developing trade secrets. Some companies don’t even realize they have trade secrets worth protecting. But the truth is, this information is often integral to building and maintaining a thriving business. A Connecticut business attorney can help you protect your business’s trade secrets and ensure they will continue to contribute to your company’s success.
First, know what a trade secret is and whether your company has one or more worth keeping. Under Connecticut law, a trade secret is information that derives its value from being generally unknown and not readily ascertainable. The information may include any of the following:
- Formulas
- Patterns
- Compilations
- Programs
- Devices
- Methods
- Techniques
- Processes
- Drawings
- Cost data
- Customer lists
The economic value of the trade secret may be actual or it may only be potential. Information that is subject to confidentiality provisions may qualify as a trade secret. Another indication that the information is a trade secret is how easily outside parties can discover it. Talk to a Connecticut business attorney about information within your company that may be considered a trade secret.
There are a series of questions a business can ask itself to determine if it has trade secrets:
- What ideas, methods, and other forms of information has your company developed?
- Is this information unique to your company?
- Does it give your company a competitive edge in the marketplace?
- Would the information benefit or generate revenue for another company?
- If the information got out, would it damage your company’s profits?
If the answer to these questions is yes, you probably have trade secrets. Since they are advantageous to your company, they are worth protecting. Failure to safeguard them could expose your company to losses of market share and value. Your Connecticut business attorney can help you avoid this.
Your first step as a business owner is to identify and document all potential trade secrets. Review the information used and held by your company’s departments and leaders. One often overlooked type of trade secret is customer lists. In sales, particularly, these lists are the lifeblood of the organization.
Next, you need to take reasonable steps to limit access to the trade secret. In fact, your company must take these steps to seek legal recourse in the event it is stolen. The trade secret must not be readily ascertainable by those who are not privy to it using proper, legal means. It must be private and only known and used in a particular business. Working with a Connecticut business attorney, you can develop comprehensive measures to protect your business’s trade secrets. Some of these may include:
- Labeling sensitive company documents as confidential
- Using read-only computer files to prevent viewing and printing of sensitive documents
- Otherwise limiting access to the information
- Requiring employees to sign confidentiality agreements
- Requiring employees to read, agree to, and sign policy manuals expressing the company’s desire to maintain certain information as confidential
- Conducting training sessions to instruct leaders and employees on the need to protect trade secrets
It’s important not only to safeguard trade secrets, but to do so in a way that is enforceable. Trade secrets are always at risk when an employee with access to them leaves the company. But the individual need not leave your business to put its secrets at risk. You need a Connecticut business lawyer to ensure the steps you take are sufficient to protect your business’s trade secrets.
A BUSINESS ATTORNEY CAN HELP PROTECT YOUR BUSINESS’S TRADE SECRETS
Trade secrets are an asset, and their value to a company cannot be overstated. The success of your business depends on making sure certain information does not end up in the wrong hands. It’s never too soon to review your company’s operations and identify trade secrets that need protection. Get started today by calling Aeton Law Partners.