A bipartisan team of lawmakers from both congressional chambers came together on Wednesday to introduce legislation that would help fight the loss of hundreds of billions of dollars each year from the theft of corporate trade secrets.
The Defend Trade Secrets Act would authorize companies to develop protections for their trade secrets in federal court by creating a federal private right-of-action.
“Unfortunately, in today’s global information age, there are endless examples of how easy — and rewarding — it can be to steal trade secrets,” U.S. Sen. Orrin Hatch (R-UT) said. “Yet there are no federal remedies available to help victim companies recover from their losses. The Defend Trade Secrets Act of 2015 establishes a uniform standard for what constitutes trade-secret theft and will give U.S. companies the ability to protect their trade secrets in federal court. I hope Congress will act quickly to pass this bipartisan, bicameral bill that will help American companies maintain their competitive advantage both here and abroad.”
The lawmakers who joined Hatch in introducing the legislation include Senate Judiciary Committee members Chris Coons (D-DE), Jeff Flake (R-AZ), Dick Durbin (D-IL), Thom Tillis (R-NC), Sen. Tammy Baldwin (D-WI) and U.S. Reps. Doug Collins (R-GA) and Jerrold Nadler (D-NY).
“In our increasingly globalized world, the intellectual property that drives the U.S. economy has never been more valuable or more vulnerable,” Coons said. “Too many American companies are losing jobs because their trade secrets are open to theft, threatening our economy and our security. This bipartisan bill finally gives trade secrets the same legal protections that other forms of critical intellectual protect enjoy. It’s a long-overdue update that will empower American companies to protect their jobs in the 21st century. I urge Congress to act now and stop the hemorrhaging of jobs and revenue being lost to the theft of trade secrets by passing the Defend Trade Secrets Act.”
“For innovation to keep driving economic growth in the United States, innovators must be able to protect their intellectual property,” Flake said. “This legislation will take much-needed steps to empower victims of trade-secret theft to protect their intellectual property in federal court. It’s also necessary that Congress address the fact that trade-secret theft extends to foreign entities misappropriating U.S. trade secrets. To that end, I’d like to thank Sens. Hatch and Coons for working with me to include a study that looks into the extent of this problem.”
“Illinois is home to some of the world’s leading manufacturing companies, which support thousands of jobs and generate tremendous economic activity for our state,” Durbin said. “This bipartisan bill would ensure that their trade secrets — like the proprietary manufacturing processes that are central to their business operations — have important legal protections like those enjoyed by other forms of intellectual property.”
“I’m pleased to join the bipartisan effort to protect American businesses from intellectual-property thieves and help those businesses recover their losses,” Tillis said. “Some of the most pioneering technology, pharmaceutical and bio-agricultural companies in the world call North Carolina home, and the Defend Trade Secrets Act will help provide them with the legal protections they need to continue to do what they do best: produce life-changing innovation and create good-paying jobs.”
“The theft of U.S intellectual property threatens economic growth and American jobs,” Baldwin said. “We must strengthen protections for American businesses and Made in America innovation. I am proud to support this bipartisan legislation because it closes a loophole in U.S. law to safeguard valuable intellectual property and protect American jobs.”
Hatch has represented Utah in the Senate since 1976. Born in Pittsburgh, Pennsylvania, in 1934, Hatch previously served as chairman of the Health, Education, Labor and Pensions Committee from 1981 to 1987. Hatch was educated at Brigham Young University and University of Pittsburgh Law School. He serves on the following committees: Finance Committee, Judiciary Committee and the Committee on Health, Education, Labor, and Pensions.