Ethics Clawback Policy

Ethics Clawback Policy: Backstop to Lost Profits in a Trade Secret Fight

Ethics Clawback Policy: Backstop to Lost Profits in a Trade Secret Fight

When an employee goes Benedict Arnold and defects with a jump drive (or DropBox account) full of your trade secrets, you know what you want – an injunction to stop him from using your secrets against you, along with money damages from both the ex-employee and his new employer.

But taking a court judgment for your lost profits isn’t always a lock. That’s one reason why ethics clawback policies deserve a close look.