a

Discover

Leverage AI to reveal, enhance, and protect trade secrets.

Manage

Everything you need to run a trade secret program.

Professional Services

Expert guidance to build a trade secret program and secure key IP assets.

FAQs

Answers to your common questions

Blog

Insights and updates on industry trends

Press

Media coverage featuring Tangibly

Podcast

The Reasonable Measures Podcast

Webinars

Presentations exploring strategic insights

Case Law Reviews

Significant trade secret cases

Knowledge Base

Release notes and other Tangibly guides

Case Study

Industry-specific applications

TS25

International Standards for Trade Secret Management

Spineless Competition

spinal column
Last updated on: June 21, 2023
by Chris Buntel

On this page

[vc_row][vc_column][vc_row_inner][vc_column_inner width=”1/2″][vc_column_text]A good intersection of patents and trade secrets was found in Life Spine v. Aegis Spine.  Many people view patents and trade secrets as mutually exclusive, but reality is much less clear.

Life Spine makes a spinal implant device, and Aegis agreed to be their distributor.  Aegis also agreed to keep details of the implant confidential and not reverse engineer the product, but instead shared information with their parent company and helped them develop a competing device.

Life Spine sued Aegis for trade secret misappropriation and breach of the distribution agreement, and was granted a preliminary injunction against Aegis.  On appeal, Aegis argued that Life Spine publicly disclosed the implant through its patent application, and by displaying and selling the implant.[/vc_column_text][/vc_column_inner][vc_column_inner width=”1/2″][us_image image=”338″][/vc_column_inner][/vc_row_inner][vc_column_text]The district court found that patents and trade secrets can co-exist.  Life Spine’s patent did not disclose the final commercial dimensions of their product, and that Life Spine kept tight control over their device during and after sale.  The distributors were even required to be present during the surgery.  Life Spine took many measures to protect the precise dimensions of their product.

Additionally, while Life Spine spent three years developing their product, the competitor only took three months to apply for FDA approval.


Source:

https://law.justia.com/cases/federal/appellate-courts/ca7/21-1649/21-1649-2021-08-09.html[/vc_column_text][/vc_column][/vc_row]

Related Articles

Blog

Takeaways: AI is Eating Your Intellectual Property (IP)

Overview In the latest IAM Saturday Opinion, Tangibly’s Chris Buntel and Tim Londergan explore how artificial intelligence is transforming the foundation of...
Blog, Guest Author Series

Behind The Curtain: Trade Secret Protection and Theft In Sports

Summary While everyone focuses on the action on the field, the data that makes this action possible is often overlooked. As this data becomes more valuable, it has also...
Blog

Is AI the ultimate defensive publication author?

Defensive publication is a patent strategy that makes it difficult or impossible for competitors to patent on or near what a company is commercializing.  The basic idea...
Blog, Guest Author Series

The New Face of IP in the AI Age: Why Trade Secrets Matter More Than Ever for Tech [Part 1 of 2]

Imagine this: A consultant starts a competing company after taking your proprietary information while under a confidentiality agreement. You promptly file a trade...
Blog

There’s No Trade Secret Troll Hiding Under The Bridge

Imagine this: A consultant starts a competing company after taking your proprietary information while under a confidentiality agreement. You promptly file a trade...
Stealing Confidential Information is Not Necessarily Trade Secret Misappropriation
Blog, Guest Author Series

Stealing Confidential Information is Not Necessarily Trade Secret Misappropriation

Imagine this: A consultant starts a competing company after taking your proprietary information while under a confidentiality agreement. You promptly file a trade...
Blog

Caffeinated or Not, Intent Matters: The Real Cost of Trade Secret Theft

Federal DTSA and Massachusetts UTSA do not clearly define what “willful and malicious” means. Recent litigation in Massachusetts took great steps towards clarifying...
Blog

KPM Analytics Wins $10M Trade Secret Case: What It Means for Foodtech and IP Protection

A recent federal court ruling awarded over $10 million in damages to KPM Analytics, a scientific instrumentation company serving the food and agriculture sectors, in a...
TS25.org
Blog

Introducing Trade Secret 2025 (TS25): The Future of Trade Secret Management

Tangibly, the leading trade secret management platform, proudly announces the launch of Trade Secret 2025 (TS25)—a cutting-edge digital resource designed to...
KPM Analytics v. Blue Sun Scientific
Blog

Palantir is Suing a Y Combinator Startup Over Trade Secrets

Palantir has filed a trade secret lawsuit against Guardian AI, a healthcare-focused AI startup launched by two of its former employees, in what is shaping up to be one...