2017 , E.D. Texas, Marshall Division
Judge WILLIAM C. BRYSON, Circuit Judge
Summary
In a dispute over trade secret misappropriation, Dr. Sabatino Bianco sued Globus Medical, Inc., alleging the company used his trade secret for a spinal surgery device without permission. After a jury verdict in Bianco's favor, awarding damages and ongoing royalties for specific products, a contempt hearing was scheduled due to disagreements over additional products potentially covered by the judgment. The court's decision addressed admissibility of evidence regarding the trade secret and its misappropriation, focusing on whether new products were merely colorable imitations of those previously adjudicated.
Decision
The court granted in part and denied in part a motion in limine to exclude evidence challenging the existence and misappropriation of the trade secret. Evidence was deemed admissible for limited purposes, especially in distinguishing whether new products were colorably different from those previously adjudicated.
Legal Significance
The ruling underscores the importance of clear trade secret identification and protection, and further clarifies the scope of court judgments in trade secret misappropriation cases, specifically regarding ongoing royalties and the introduction of new, but similar products.
Financial Judgement
A jury awarded $4,295,760 in damages with an ongoing royalty of 5% of net sales on certain products for 15 years from June 30, 2007. The exact amount for ongoing royalties was not specified in this summary.
Key Takeaways
The case highlights critical considerations in trade secret protection and enforcement, including the definition of 'colorably different' products and the role of subsequent developments in the state of the art regarding what constitutes a violation of a trade secret judgment.
