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Kansas Supreme Court - 99536 – Wolfe Electric, Inc. v. Duckworth

Kansas Supreme Court - 99536 – Wolfe Electric, Inc. v. Duckworth

Kansas Supreme Court - 99536 – Wolfe Electric, Inc. v. Duckworth

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(1) Contractual remedies, whether or not based upon misappropriation of a trade<br />

secret;<br />

(2) other civil remedies that are not based upon misappropriation of a trade secret;<br />

or<br />

(3) criminal remedies, whether or not based upon misappropriation of a trade<br />

secret." (Emphasis added.)<br />

According to one commentator, "[t]he drafters [of Section 7 of the Uniform Trade<br />

Secrets Act, identical to K.S.A. 60-3326] explicitly abrogate other civil remedies based on<br />

misappropriation of a defined trade secret and, among the courts, there seems to be little<br />

dispute that the UTSA did, in fact, intend to abrogate other civil remedies when a claim<br />

involves misappropriation of a trade secret." Comment, I Have a Secret?: Applying the<br />

Uniform Trade Secrets Act to Confidential Information That Does Not Rise to the Level of<br />

Trade Secret Status, 12 Marq. Intell. Prop. L. Rev. 359, 367 (Summer 2008); see, e.g.,<br />

BlueEarth Biofuels v. Hawaiian Elec. Co., 123 Hawaii 314, 318, 235 P.3d 310 (2010)<br />

(stating that "[c]ourts that have considered the UTSA's preemption provision have<br />

'uniformly interpreted [it] to preempt previously existing misappropriation of trade secret<br />

actions, whether statutory or common law' [Citations omitted.]").<br />

That said, we now provide guidance on remand. Defendants frame their appellate<br />

argument as trial court error for not granting their motions for judgment as a matter of law,<br />

not for giving erroneous jury instructions. Nevertheless, Instruction 3 improperly informed<br />

the jury that <strong>Wolfe</strong> <strong>Electric</strong> could, and did, allege <strong>Duckworth</strong> breached his fiduciary duty<br />

and caused damages by:<br />

"1) using or attempting to use <strong>Wolfe</strong> <strong>Electric</strong>'s trade secrets and confidential<br />

information to develop, manufacture and sell conveyor pizza ovens;<br />

34

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