Randy Kahnke Speaks With Law360 About the Most Significant Trade Secrets Cases Of 2024

Business litigation partner Randy Kahnke spoke with Law360 about trade secrets cases that defined 2024 and what to expect from the Federal Trade Commission (FTC) in the coming year.

The first case Kahnke discussed with the publication was one that marked the first time the Defend Trade Secrets Act of 2016 was applied extraterritorially. "This notion of extraterritorial reach is really significant," said Kahnke. "In many respects, the U.S. legal system is the envy of the business world and is thus an attractive location for many business disputes."

Kahnke also discussed the FTC's rule banning employee noncompete agreements, set to take effect in September, which was blocked by a Texas federal judge in July. This has left trade secrets owners and attorneys uncertain about preventing employees from taking confidential information to new jobs.

Kahnke added that with the Seventh Circuit's ruling, "plaintiffs are going to look even closer at how they can establish jurisdiction over trade secret defendants in the United States."

"The election may moot that," Kahnke said, referring to Trump's presidential election victory. "We may have a new administration that views these things differently, yet to be determined."

Kahnke said there's still a lot of confusion about whether the FTC's rule is in effect already. "There are a number of very sophisticated business people who are operating under the assumption that noncompetes are now gone and that the era of noncompetes is behind us," he said.