Trade Secret


Definition of Trade Secret

Trade secret refers to a formula, method, plan, process or any other information that might be considered exclusive to a certain manufacturer. This information is usually what gives that manufacturer an advantage over competitors. This is the reason why trade secrets have great value.



Trade Secret Explained

Trade secrets are usually protected by a court order, which prevents the employee, a former employee or anyone else who has possession of or knows about it from disclosing it. Under such court orders, the employer has the right to seek compensation from a person or a party that has disclosed the information.