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The DTSA's Jurisdictional Nexus, Three Years In
The Defend Trade Secrets Act (DTSA) requires pleading a connection between a trade secret, a product or service, and interstate commerce. But failure to prove such a connection divests the district court of subject matter jurisdiction. This article summarizes the first three years of cases discussing the jurisdictional element and explores implications.
The DTSA has a limited statutory scope: it protects trade secrets if they “relate[] to a product or service used, or intended for use in, interstate or foreign commerce.” 18 U.S.C. 1836(b)(1). Courts have interpreted this as a statutory limitation on federal protection for trade secrets. Congress presumably could have protected all “trade secrets affecting commerce,” but it did not. Congress protected trade secrets that are “related to a product or service used in, or intended for use in, interstate of foreign commerce.” 18 U.S.C. 1836(b)(1) And since federal jurisdiction is limited and defined by statute, federal jurisdiction only reaches trade secrets with sufficient relationship to a product or service flowing in interstate commerce.
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New York's Latest Cybersecurity Commitment
On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.
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Bit Parts
Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights
Risks of “Baseball Arbitration” in Resolving Real Estate Disputes
“Baseball arbitration” refers to the process used in Major League Baseball in which if an eligible player's representative and the club ownership cannot reach a compensation agreement through negotiation, each party enters a final submission and during a formal hearing each side — player and management — presents its case and then the designated panel of arbitrators chooses one of the salary bids with no other result being allowed. This method has become increasingly popular even beyond the sport of baseball.