A number of recent federal court decisions illustrate an emerging trend toward a more narrow interpretation of the Computer Fraud and Abuse Act (CFAA), 18 U.S.C. § 1030. This shift in the law carries important implications for intellectual property owners, especially those concerned with misappropriation of confidential material at the hands of a wayward employee. The CFAA previously received broad application by a majority of federal district courts. As a result, those accused of violating an employer’s internal computer use policy could expect to face civil, and even criminal, CFAA charges, in addition to the usual breach-of-loyalty and contract claims.
By favoring a narrow application of the act based largely on the CFAA’s legislative history and predominantly criminal nature, a growing number of jurisdictions has rejected the argument that CFAA liability arises where an employee misappropriates confidential information where the employer previously granted access. As discussed below, while the courts’ retreat from the CFAA high-water mark arguably announces a more natural reading of the act, it also leaves employers with fewer means to prosecute claims involving unauthorized use of valuable intellectual property.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
