Another Epic lawsuit!
This case is another great, Epic even, example of how 70% of trade secret problems come from insider leaks like employee or contractor misconduct.
From insider leaks to trade secret litigation
In this Epic Games trade secret lawsuit, Epic is suing a former contractor in the Eastern District of North Carolina for trade secret misappropriation, breach of NDA, and unfair competition under state law. The Epic Games lawsuit also includes claims under the federal DTSA and the North Carolina Trade Secrets Protection Act.
Epic is the creator and owner of Fortnite, a top tier global game with over 650 million registered players. They closely guard confidential information relating to upcoming content, timelines, and partnerships. Epic uses restricted access and non-disclosure agreements (NDA) to safeguard this information.
According to the complaint, a now-former contractor signed an NDA when starting his role as an Associate Producer but repeatedly disclosed confidential information through anonymous social media accounts on X and Discord. The allegations tie this dispute directly to Fortnite leaks and the risks that come with insider access. The contractor also completed company training on information security, data protection, and privacy.
Epic Games moved fast
Starting in January 2026, the contractor repeatedly posted leaks about upcoming collaborations and timelines. Epic sent a cease & desist letter on February 20, 2026, and filed the lawsuit on March 5, 2026. The speed of the response is one of the more striking aspects of the Epic Games trade secret lawsuit.
Epic is seeking a permanent injunction as well as damages, attorney’s fees, and return or destruction of any Epic trade secrets or confidential information, which is typical in trade secret litigation involving insider leaks.
It will be interesting to see the contractor’s response (if any). Defendants in federal court normally have 21 days to file their answer from the date of service. It is impressive how quickly Epic moved to contain this situation.
What companies should take from this case
Trade secret risk often starts with the people who already have access. If your company is thinking about how to better protect confidential information before a leak happens, now is the time to take a closer look at your policies, access controls, and response plan.
Meet with our experts.
Why are programs and data considered trade secrets?
Because they contain algorithms, models, processes, and customer insights that provide competitive advantage. When exposed, the loss is immediate and irreversible.
What is the first step to protecting programs and data?
Create an inventory and identify which assets qualify as trade secrets, including code, models, datasets, prompts, and internal tools.
Why is classification important for trade secret protection?
Classification clarifies sensitivity, risk, and required controls. It strengthens governance and ensures teams understand how assets should be handled.
How does access control prevent trade secret loss?
Limiting access by role, tracking interactions, removing outdated permissions, and restricting repositories prevents internal misuse and accidental exposure.
How does AI increase the risk of trade secret leakage?
Employees often paste confidential information into public AI tools, causing it to become training data. Governance and private AI tools prevent this.
What legal agreements support trade secret protection?
NDAs, invention assignment agreements, contractor agreements, and offboarding processes ensure confidentiality obligations are clear and enforceable.
Why is employee training essential for protecting trade secrets?
Most exposure occurs through human behaviour. Training builds awareness and creates a culture of confidentiality across the organisation.
How do audits improve trade secret protection?
Audits identify weak points like outdated access, unsecured repositories, shadow AI use, and untracked datasets — key for legal defensibility.
How does Tangibly help protect programs and data?
Tangibly provides automated trade secret identification, classification, access tracking, governance workflows, and AI-driven risk detection.
