ARKANSAS CODE ANNOTATED

TITLE 4. BUSINESS AND COMMERCIAL LAW

SUBTITLE 6. BUSINESS PRACTICES

CHAPTER 75. UNFAIR PRACTICES

SUBCHAPTER 6. THEFT OF TRADE SECRETS

4-75-601  Definitions.

As used in this subchapter, unless the context otherwise requires:

(1) "Improper means" includes theft, bribery, misrepresentation, breach, or inducement of a breach of a duty to maintain secrecy or espionage through electronic or other means;

(2) "Misappropriation" means:

            (A) Acquisition of a trade secret of another by a person who knows or has reason to know that the trade secret was acquired by improper means; or

            (B) Disclosure or use of a trade secret of another without express or implied consent by a person who:

                        (i) Used improper means to acquire knowledge of the trade secret; or

                        (ii) At the time of disclosure or use, knew or had reason to know that his knowledge of the trade secret was:

                                    (a) Derived from or through a person who had utilized improper means to acquire it;

                                    (b) Acquired under circumstances giving rise to a duty to maintain its secrecy or limit its use; or

                                    (c) Derived from or through a person who owed a duty to the person seeking relief to maintain its secrecy or limit its use; or

                        (iii) Before a material change of his position, knew or had reason to know that it was a trade secret and that knowledge of it had been acquired by accident or mistake;

(3) "Person" means a natural person, corporation, business trust, estate, trust, partnership, association, joint venture, government, governmental subdivision or agency, or any other legal or commercial entity;

(4) "Trade secret" means information, including a formula, pattern, compilation, program, device, method, technique, or process, that:

            (A) Derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use; and

            (B) Is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.

4-75-604  Injunctive relief.

(a) Actual or threatened misappropriation may be enjoined.

(b) Upon application to the court, an injunction shall be terminated when the trade secret has ceased to exist; however, the injunction may be continued for an additional reasonable period of time in order to eliminate commercial advantage that otherwise would be derived from the misappropriation.

(c) If the court determines that it would be unreasonable to prohibit future use, an injunction may condition future use upon payment of a reasonable royalty for no longer than the period of time the use could have been prohibited.

(d) In appropriate circumstances, affirmative acts to protect a trade secret may be compelled by court order.

4-75-606  Damages.

(a) In addition to or in lieu of injunctive relief, a complainant may recover damages for the actual loss caused by misappropriation.

(b) A complainant also may recover for the unjust enrichment caused by misappropriation that is not taken into account in computing damages for actual loss.

4-75-607  Attorneys' fees.

The court may award reasonable attorneys' fees to the prevailing party if:

(1) A claim of misappropriation is made in bad faith;

(2) A motion to terminate an injunction is made or resisted in bad faith; or

(3) Willful and malicious misappropriation exists.

ARKANSAS CODE ANNOTATED

TITLE 5. CRIMINAL OFFENSES

SUBTITLE 4. OFFENSES AGAINST PROPERTY

CHAPTER 36. THEFT

SUBCHAPTER 1. GENERAL PROVISIONS

5‑36‑107  Theft of trade secret.

  (a) A person commits theft of trade secret if with purpose to deprive the owner of the control of a trade secret, he obtains or discloses to an unauthorized person a trade secret or, without authority, makes or causes to be made a copy or an article representing a trade secret.

  (b) Theft of a trade secret is a Class A misdemeanor.

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