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In a recent case involving the receipt of stolen trade secrets, a court clarified how much time a trade secret owner has to bring an action against a third party, who did not directly steal the trade secrets, but used them. California law allows the owner to enjoin the third party and, under certain circumstances, seek damages. But when does the statute of limitations on such claims begin to run? In a recent decision, the Court of Appeal held that the statute of limitations for the trade secret owner’s claim begins when the trade secret owner “has any reason to suspect that the third party knows or reasonably should know that the information is a trade secret.”
