Delaware is known for its robust litigation in the field of corporate governance, generally arising from transactions among some of the country’s largest and most well-known companies. But Delaware also has become a forum of choice for litigants seeking to protect a variety of intellectual and competitive interests, including trade secrets, restrictive covenants, and confidentiality agreements. Delaware offers parties in such disputes two sophisticated trial courts: a court of equity, the nationally recognized Delaware Court of Chancery, and its parallel law-court option, the Delaware Superior Court.
While the Court of Chancery invokes thoughts of breach of fiduciary duty and other stockholder suits, it will devote the same formidable judicial resources to trade secrets cases. Expedited proceedings before experienced and business-savvy judges, without a jury, are the norm. Enforcement of noncompetition and confidentiality provisions also can be quickly obtained, and preliminary relief is frequently granted, where warranted.
Likewise, the Delaware Superior Court, known for the efficient adjudication of damages claims at law, can also hear trade secrets cases where equitable relief is not at issue. Juries are available in the Superior Court’s Complex Commercial Litigation Division (CCLD), which has adopted special procedures that are particularly well suited for even the most time-sensitive and complex trade secrets matters. Where injunctive relief is not required, the CCLD can efficiently resolve damages claims arising from restrictive covenant violations and confidentiality agreements.
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