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Oct. 9, 2024

The head of the octopus: Apportioning damages in trade secrets disputes

See more on The head of the octopus: Apportioning damages in trade secrets disputes

In EchoSpan, Inc. v. Medallia, Inc., a federal court overturned a multi-million-dollar award because the plaintiff did not apportion damages among trade secrets. The takeaway: apportioning damages individually can be key to securing remedies.

Seth M. Gerber

Trial Lawyer
Morgan, Lewis & Bockius LLP

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The head of the octopus: Apportioning damages in trade secrets disputes

Swinging for the fences with an all-or-nothing damages model has significant risks, especially in trade secrets disputes. Although the Ninth Circuit has not ruled on whether plaintiffs are required to apportion damages among trade secrets, failing to apportion damages on a trade-secret-by-trade-secret basis can wipe out a large damages award in certain circumstances.

In EchoSpan, Inc. v. Medallia, Inc., plaintiff EchoSpan brought claims for misappropriation of nine trade ...

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