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Rhode Island Non-Disclosure Agreement (NDA)
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The Rhode Island Non-Disclosure Agreement ("confidentiality agreement") is a contract that prevents highly sensitive and proprietary information from being shared with competitors and the general public. The form is commonly signed by investors, employees, suppliers, businesses, and any other person or entity that will be learning valuable information that cannot land in the wrong hands.
Trade Secret Law
Rhode Island's Uniform Trade Secrets Act, Chapter 6-41, went into effect on July 1st, 1968, and consists of eleven sections that cover how cases of misappropriated trade secrets are handled in the state. Below is a list of the sections of the chapter along with a brief description of each.
§ 6-41-1: Covers the definitions of four (4) commonly used terms throughout the chapter.
§ 6-41-2: When injunctive relief will be ordered by the court. Injunctive relief is an order by the court to stop an action (in this case, the order would be to stop a trade secret from being used).
§ 6-41-3: What grants the victim of misappropriation to claim damages. Damages can be rewarded for both the loss directly due to misappropriation as well as the benefit the misappropriation gave to the entity that used the trade secret(s).
§ 6-41-4: This section gives the three situations in which the winning party will have the cost of their attorney's fees covered.
§ 6-41-5: Goes over the steps that the court will take in order to protect all trade secrets during litigation.
§ 6-41-6: The length of time a victim of misappropriation has to bring the case, which is three (3) years.
§ 6-41-7: How the act affects other laws. States the act does not affect contractual, civil, and criminal remedies (if not based upon misappropriation).
§ 6-41-8: A brief statement saying the act is meant to be consonant with other state's adoption of the act.
§ 6-41-9: The title of the act, which is the "Uniform Trade Secrets Act".
§ 6-41-10: Statement of severability, generally saying if portions of the chapter are invalid, it doesn't affect the other sections of the act.
§ 6-41-11: States the chapter went into effect on July 1st, 1986, and any misappropriation before that date does not fall under this chapter.
Statute of Limitations (§ 6-41-6): Cases of misappropriation need to be brought up within three (3) years after their discovery (or the date the victim should have been discovered that their trade secret(s) had been stolen or misused).
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