Second Circuit Largely Affirms $18.1 Million Trade Secrets Misappropriation Verdict

On February 6, 2013, the federal Second Circuit Court of Appeals affirmed $15 million of a $18.1 million dollar jury verdict (onto which the trial court tacked on an additional $1.5 million in interest) in favor of a New York subway brake manufacturer on its trade secret misappropriation claim against a former licensee turned competitor.  Faively Transport USA, Inc. v. Wabtec Corp., No. 11-3518-cv, 2013 WL 440200 (2nd Cir. Feb. 6, 2013).  The legal issues are interesting, sure, but I’d like to focus on the more valuable lesson of the wisdom of settlement that this case screamed for.

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