In “The Godfather Part II,” Michael Corleone passed on his father’s advice to “keep your friends close and your enemies closer.” In protecting trade secret and confidential proprietary information, managing relationships in which confidences are shared and vigilantly looking after secret information can make all the difference.
Lately, threats from strangers abroad have grabbed headlines. In May, a grand jury in the Western District of Pennsylvania indicted five members of the Chinese military for computer hacking, economic espionage and other crimes connected to their theft of trade secrets in order to benefit Chinese state-owned enterprises. Putting aside whether criminal prosecutions can or will restrain state-sponsored trade-secret theft, the indictment illustrates a fact of life confronting American businesses.
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