BIO 2015: DuPont counsel shares best practices for protecting trade secrets

Recent patent decisions in the life sciences sector are leading biotechnology companies to seek protection for their innovations by using alternatives to patents, with trade secrets the most viable, the BIO International Convention has heard.

Today, June 18, in the final intellectual property session of  this year’s conference, Michael Clarke, corporate counsel at chemicals company DuPont, gave his tips on best practice for protecting trade secrets.

“You can’t have perfect compliance, and you can’t have perfect safety,” he said.

What you can do is learn to live with a level of risk, make yourself a difficult target, and be prepared to move quickly if you fear a breach, he added.

He recommended that companies should establish a line of communication with the authorities, such as the FBI, in advance, so that any threats can be dealt with as quickly as possible.

DuPont has trade secrets—the formula for making body armour material Kevlar is a proprietary technology – but how does it deal with the threat of losing its valuable information?

If you fear one of your employees is a threat, Clarke said, it is necessary to study that person’s computer, research external interest in the company’s area of research that could be associated with the individual, interview him or her, and notify the authorities or law enforcers.

Clarke also urged the audience to be vigilant in how they carry company information, whether it’s on paper, a flash drive, or a company computer.

“I’m spot-welded to my laptop,” he said, adding that on a recent trip to China, he brought a laptop empty of company data.

The US Department of Justice has become more sophisticated in its handling of these cases in recent years, he said, which suggests a wider understanding of the importance of protecting trade secrets.

Clarke said that retirees of the company, as well as ex-employees, can be a risk, but they can also serve as your early warning system, alerting the company to any contact they may have had from other businesses seeking information.

You have to be careful about threatening legal action, he said. Potential breaches can be resolved without legal intervention, as long as the company recovers the information at risk of being lost.

The 2015 BIO International Convention in Philadelphia concludes today.