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60-3322. Same; damages. (a) Except to the extent that a material and prejudicial change of position prior to acquiring knowledge or reason to know of misappropriation renders a monetary recovery inequitable, a complainant is entitled to recover damages for misappropriation. Damages can include both the actual loss caused by misappropriation and the unjust enrichment caused by misappropriation that is not taken into account in computing actual loss. In lieu of damages measured by any other methods, the damages caused by misappropriation may be measured by imposition of liability for a reasonable royalty for a misappropriator's unauthorized disclosure or use of a trade secret.

(b) If willful and malicious misappropriation exists, the court may award exemplary damages in an amount not exceeding twice any award made under subsection (a).

History: L. 1981, ch. 214, § 3; L. 1988, ch. 221, § 2; July 1.

Law Review and Bar Journal References:

"Legal Issues Related to the Use and Ownership of Genetically Modified Organisms," Roger A. McEowen, 43 W.L.J. 611, 639 (2004).

CASE ANNOTATIONS

1. Kansas uniform trade secrets act cited and discussed; misappropriation of trade secret found. Progressive Products, Inc. v. Swartz, 41 Kan. App. 2d 745, 205 P.3d 766 (2009).

2. Assumptions made by expert witness did not constitute speculation in the calculation of lost profits for manufacturer's misappropriation of trade secrets claim. Ice Corp. v. Hamilton Sundstrand Corp., 615 F. Supp. 2d 1256 (D. Kan. 2009).

3. Case remanded to the district court to specify the basis for imposing the royalty injunction and other short-term injunctive relief. Progressive Products, Inc. v. Swartz, 292 Kan. 947, 258 P.3d 969 (2011).

4. Employer's payments to forensic investigators did not constitute an actual loss compensable under the Kansas Uniform Trade Secrets Act because the plaintiff would have incurred the expenses regardless of whether any misappropriation had occurred. Tank Connection, LLC v. Haight, 161 F. Supp. 3d 957, 965-66 (D. Kan. 2016).


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