Tuesday, March 29, 2011

Traverse Internet Law Federal Court Report: March 2011 - Trade Secret Violation Lawsuits


The facts are unproven allegations of the Plaintiff and all commentary is based upon the allegations, the truthfulness and accuracy of which are likely in dispute.


NACCO MATERIALS HANDLING GROUP, INC. d/b/a YALE MATERIALS HANDLING CORPORATION v. THE LILLY COMPANY
EASTERN DISTRICT OF NORTH CAROLINA
4:11-CV-00028
FILED: 2/22/11

The Plaintiff claims that its dealer resource website is one of the principal means by which it communicates proprietary and trade secret information to its community of dealers across the country. It apparently contains information related to availability of products, parts and services as well as dealer pricing. This type of information is typically trade secret information with significant value. If you get access to competitor dealer pricing information, no matter how you obtained it, this will likely be considered trade secret information and protected by the law. All because you obtained possession of such trade secret information does not mean you are entitled to use it.

The Plaintiff manufactures and sells lift trucks. It maintains a dealer resource site restricted to authorized users. Lilly allegedly obtained unauthorized access to the secure dealer resource site. The Defendant is a direct competitor of the Plaintiff. The unauthorized access allegedly provided detailed specifications and trade secrets.

Plaintiff alleges violation of the Computer Fraud and Abuse Act, computer trespass, misappropriation of trade secrets, tortious interference with contract and business relations, tortious interference with prospective economic advantage, violation of the North Carolina Unfair and Deceptive Trade Practices Act, and copyright infringement. The lawsuit requests injunctive relief, destruction of infringing materials, punitive damages, actual damages, treble damages, prejudgment interest, attorneys’ fees and costs and other such relief the Court deems just and proper. Traverse Internet Law Cross-Reference Number 1479.