A hurdle for plaintiffs in trade secrets cases can be describing the trade secrets in sufficient detail to survive dismissal. In Quintara Biosciences, Inc. v. Ruifeng Biztech, Inc., the Ninth Circuit clarified that plaintiffs suing under the Defend Trade Secrets Act (DTSA) in California federal courts are not bound by California’s strict “reasonable particularity” disclosure requirement (Cal. Civ. Proc. Code § 2019.210). The court held that DTSA claims should be evaluated under the Federal Rules of Civil Procedure, not California’s heightened pleading standard.
Plaintiffs may find it easier to advance DTSA claims in California federal courts, and pursue discovery, without early dismissal for lack of specificity. Defendants, meanwhile, should be prepared to challenge trade secret identifications through summary judgment or at trial, rather than at the pleading stage.