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TEKsystems Prevails in Trade Secrets Case Against Competitor Modis

Technical staffing company, TEKsystems announces that it has prevailed in a lawsuit in the U.S. District Court for the Central District of California against its competitor Modis. The court awarded TEKsystems $450,000 for misappropriation of trade secrets concluding that Modis used information found in TEKsystems' proprietary database with knowledge that it came from TEKsystems, that the information constituted trade secrets, and that Modis refused to return the trade secret information or to delete it from its systems.

In addition to the monetary award, the Court determined TEKsystems was entitled to permanent injunctive relief to prevent actual and threatened misappropriation of TEKsystems' trade secrets by Modis.

In its decision, the Court stated "it is significant to note that this is not a 'garden variety trade secrets' case." "The evidence shows that Modis acted with a purpose or willingness to engage in the conduct in question and that the conduct was not reasonable under the circumstances at the time and was not undertaken in good faith. The evidence also shows that Modis acted maliciously in that Modis' conduct was done with a willful and knowing disregard for the rights of TEKsystems and constituted despicable conduct."

Full post as published by Womble Trade Secrets Blog on February 12, 2009 (boomark / email).