A bitter court battle has erupted in the United States, involving a battery materials company and another business, which has its home base overseas. The battery company says that filing a lawsuit was a last resort, and it is confident that litigation will be successful. Business owners in California who are concerned about trade secrets may want to follow this case.
At issue are trade secrets that the battery materials company claims were stolen, thus enabling a global competitor to generate hundreds of millions of dollars in capital by using proprietary information that it was barred from sharing because of a nondisclosure agreement. The competitor adamantly rejects the claims as unfounded. In fact, the company has filed its own petition in federal court. Asking that the case be dismissed.
One company says the other is trying to smear its name
In its request seeking dismissal, the global company claims the battery materials company is trying to ruin its reputation in order to gain the upper hand in the global market. The company also contends that the information it used was not considered trade secrets and was publicly available. Representatives of the company say it took years of study and research to accomplish its achievements, and if the battery company believed it had stolen trade secrets, it likely would not have waited several years to file a lawsuit.
It will now be left to the courts to decide
Issues regarding trade secrets are complex. When they are included in a California legal claim, it can take months, or longer, to resolve. As in the case between the battery materials company and its global competitor, the ultimate decision lies with the court. Any business owner who wishes to increase the chance of litigation victory is wise to secure legal support before heading into proceedings.