Asked in Intellectual Property

Q: Can I acquire any remedy from suing a competitor who I suspect had used my secret recipe by obtaining it illegally?

Topics: Intellectual Property, Trade Secrets, Recipe

In this case:

1) the competitor bought the recipe which is a trade secret, from my employee/ex-employee however the employee/ex-employee does not work in the competitor's business.

2) The competitor had made some changes to the recipe, however the food tasted virtually the same (e.g. the competitor added a bit of salt)

3) when the competitor is confronted, they claim they had reverse engineered or discover how to make the food themselves even though they do not, emphasizing the minor differences in recipe as proove.

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1 Lawyer Answer

A: You may have a claim to unlawful disclosure of a trade secret. Much of your rights depend on in what state your business is located, and in what state the competitor is located because of what law may apply in deciding the issue (e.g. statutory trade secret law, contract law, etc.). Further factors include what efforts you made to keep the recipe secret. Did you have employees sign any contract that includes non-disclosure / confidentiality provisions or non-competition? The value (and enforceability) of a trade secret depends in part on the level of effort used to keep it secret. Assuming there is a protectable trade secret, proving disclosure from the employee to the business in a lawsuit may be difficult, but a smoking gun email, text message, or phone records may help prove the case. I suggest speaking to an attorney experienced in intellectual property, and trade secret enforcement in particular in your state. If you are in Florida, I would be pleased to further evaluate your case in a confidential setting. Good luck!

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