Protecting Your Trade Secrets, Part 2 Antsy about your trade secrets when your employees leave? Read these suggestions to make sure they keep mum about your business.
Other ways to protect your secrets include document labeling andrestricting access to materials. Conducting exit interviews is alsoa good idea. You can query employees about their plans and remindthem of their continuing obligations.
Finally, you can put some teeth in your nondisclosure andnoncompetition agreements with the following:
- An ideas-and-inventions clause obligates employees to tell youabout any ideas and inventions related to your business that theydeveloped while working for you.
- A liquidated damages clause establishes the amount of moneydeparting employees must pay you if they take your customers whilea noncompete or nonsolicitation restriction is in force. Similarly,you can penalize departing employees by having them forfeitspecific postemployment benefits if they breach their nondisclosureor noncompete agreements. Contact your lawyer for moredetails.