#trade-secrets

#trade-secrets

Congress enacted the CFAA in 1986 as a criminal law statute in response to the nascent issue of computer "hacking." 18 U.S.C. § 1030. The private cause of action was added a decade later. The Act prohibits unauthorized access or access that exceeds authorized access to computers. The CFAA defines "exceeds authorized access" as accessing "a computer with authorization and [using] such access to obtain . . . information in the computer that the accesser is not entitled to obtain," while leaving "unauthorized access" undefined.

Deel's countersuit against Rippling paints the company and its CEO as motivated by jealousy, alleging a campaign to harm Deel's reputation amid accusations of corporate espionage.

The case underscores significant risks associated with breaches of confidentiality agreements in high-stakes business negotiations, especially concerning trade secrets and proprietary technology.