March 28, 2017

Appellate Courts Deliver Two Major Setbacks to the Government’s Protection of Intellectual Property

The federal government recently suffered two very significant setbacks in its efforts to protect intellectual property in the United States. In the first, the Second Circuit explained its prior decision to order the acquittal of former Goldman Sachs Group Inc. computer programmer Sergey Aleynikov, who had been found guilty under the Economic Espionage Act (“EEA”) and the National Stolen Property Act (“NSPA”) of stealing computer source code from Goldman U.S. v. Aleynikov, No. 11-1126 (2d Cir., April 11, 2012).
In the second, the Ninth Circuit found that David Nosal, who left a well-known executive search firm to start his own business, did not violate the Computer Fraud and Abuse Act (“CFAA”) even though the convinced some of his former colleagues to use their login credentials to download source lists names and contact information from a confidential database, and then to provide that information to him. U.S. v. Nosal, No. 10-10028 (9th Cir. April 10, 2012).
If you’re interested in learning more about these important cases read my article published in Law360 on April 24, 2012. Article Aleynikov And Nosal — 2 Major Government Setbacks – Law360

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