Few companies are allowed to keep top secrets about their products or services. However, there are a few businesses in Texas that have trade secrets that need legal protections.
Protecting the business’s vault
Every company has special products or services that are not found anywhere else. However, many special products are not complex and easy for the public to figure out. A trade secret is an idea or technique that has never been revealed to consumers and must remain secret forever. Examples include a secret sauce recipe from a popular food chain restaurant or a marketing technique that allows a company to reach tens of thousands of new clients.
The main steps for any business to protect their trade secrets are to know what needs protection, determine the right tools to use, and hire the right individuals to manage the tools. A very important tip is to monitor the amount of access that is given to individual workers who review the company’s information.
Consequences of not protecting secrets
The consequences of allowing trade secrets to be released are mainly financial. It is an unofficial form of theft that could result in tens of thousands of dollars in damages. For instance, not protecting intellectual property could lead to a million-dollar idea being stolen and used by another company or individual who profits from its success.
Understand the state laws
The Texas Theft Liability Act punishes those who steal trade secrets and classifies their acts as crimes. The theft occurs if the person steals the secret, makes a close replica, or transfers the secret to someone else. Taking the right steps to protect your company from theft is important, but also make sure that your staff is informed of the Texas laws.