This month’s Business Bytes highlights trade secret litigation, Wage Payment and Collection Act, and controlling shareholders.
Trade Secret Litigation. The rise in the value of business’ trade secrets, confidential, and proprietary information that is not protected by patent or copyright, resulted in increased litigation, particularly since the passage of federal trade secret protections in 2016. To avoid being sued, be sure you know the source and status of proprietary information acquired for your business’ use, and when in doubt obtain licenses or indemnity for your protection. READ MORE.
Wage Payment and Collection Act. This Illinois law protects employees’ recovery of unpaid wages and assesses civil fines, penalties, and attorney’s fees against non-complying employers. Recent rulings found that bonuses and executive compensation may be subject to the Act. As a result, do not take making timely payment of amounts due to terminating employees lightly. READ MORE.
Controlling Shareholders. Despite the size or ownership make-up of a corporation, the controlling, usually the majority, shareholder has an obligation to act in the best interests of all shareholders. The controlling shareholder must act fairly and justly toward all owners or face the consequences of direct or derivative claims by minority shareholders. READ MORE.
