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Trade secrets include business information that is secret and of value. Generally, protection from misappropriation of trade secrets is governed by state law. The owner of a trade secret must make a reasonable effort to maintain the secrecy of the trade secret. In order to protect trade secrets a business should first carefully evaluate the information the business possess that may constitute trade secrets. Employees should sign nondisclosure agreements when hired. In some situations employees should also sign an agreement not to compete to protect a business' trade secrets. Employees should be educated on the confidentiality of trade secrets and access to trade secrets should be limited to persons within the business that need the information. Confidentiality agreements should be signed with outside parties, such as licensees, before disclosure of trade secrets to those parties. | |||||||||||||||
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