Use of Trade Secret Information as Evidence at Trial

• Publication year: 2002
• Pages: 67
• Citation: Vol. 31 No. 11 Pg. 67

31 Colo.Law. 67 Colorado Lawyer 2002.

2002, November, Pg. 67. Use of Trade Secret Information as Evidence at Trial

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67

Vol. 31, No. 11, Pg. 67

The Colorado Lawyer
November 2002
Vol. 31, No. 11 [Page 67]

Specialty Law Columns
Civil Evidence
Use of Trade Secret Information as Evidence at Trial
by Miko Ando

This month's article was written by Miko Ando, Denver, an associate with Holme Roberts & Owen llp - (303) 861-7000

Those interested in submitting an article for publication in Civil Evidence should contact the editor, Lawrence M Zavadil, at (303) 389-4644 or lzavadil@jcfkk.com

Q: May a party introduce its adversary's trade secret information as evidence at trial?

A: Yes. A party may introduce its adversary's trade secret information as evidence, but the court may issue a protective order safeguarding the opposing party's legitimate proprietary interest in the information.

Assumed Facts

Proprietary Pete ("Pete") sued Worker Wilma ("Wilma") for stealing Pete's top secret cola recipe. Pete alleged that Wilma had access to his recipe when she worked for Pete as executive vice-president of cola manufacturing at Pete's factory. According to Pete, Wilma worked at the factory just long enough to learn the recipe, whereupon she quit. Two months later, Wilma opened her own cola manufacturing business.

Wilma denies using any part of Pete's cola recipe. Instead, Wilma claims that she recently inherited her own recipe from her grandmother, who spent her entire life perfecting a delectable cola concoction.

During discovery, Wilma procured several boxes of Pete's highly confidential trade secret documents pertaining to his cola recipe. According to Wilma, these documents prove that Pete's and Wilma's cola recipes are vastly different. Thus, Wilma would like to introduce these documents as evidence at trial to support her defense. Pete, on the other hand, claims that the documents contain his trade secret, which would be destroyed if the contents were disclosed in open court. Should the court allow Wilma to introduce Pete's trade secret documents as evidence at trial?

Discussion

Under Colorado law, there is no absolute right to keep trade secret information confidential.1 Rather, the owner of such information is entitled to protect trade secrets from unnecessary disclosure.2 The key is to balance the parties' rights to appropriately use...