BILL NUMBER: SB 1636	CHAPTERED  07/07/06

	CHAPTER  62
	FILED WITH SECRETARY OF STATE  JULY 7, 2006
	APPROVED BY GOVERNOR  JULY 7, 2006
	PASSED THE ASSEMBLY  JUNE 26, 2006
	PASSED THE SENATE  MAY 4, 2006
	AMENDED IN SENATE  APRIL 20, 2006
	AMENDED IN SENATE  APRIL 17, 2006

INTRODUCED BY   Senator Ackerman

                        FEBRUARY 24, 2006

   An act to amend Section 3426.4 of the Civil Code, relating to
trade secrets.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1636, Ackerman  Trade secrets.
   Existing law, the Uniform Trade Secrets Act, provides that actual
or threatened misappropriation of a trade secret, as defined, may be
enjoined. The act authorizes the court to award reasonable attorney's
fees to the prevailing party if a claim of misappropriation is made
in bad faith, a motion to terminate an injunction is made or resisted
in bad faith, or willful and malicious misappropriation exists.
   This bill would authorize the court to also award costs to the
prevailing party, including a reasonable sum to cover the services of
expert witnesses, as specified.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 3426.4 of the Civil Code is amended to read:
   3426.4.  If a claim of misappropriation is made in bad faith, a
motion to terminate an injunction is made or resisted in bad faith,
or willful and malicious misappropriation exists, the court may award
reasonable attorney's fees and costs to the prevailing party.
Recoverable costs hereunder shall include a reasonable sum to cover
the services of expert witnesses, who are not regular employees of
any party, actually incurred and reasonably necessary in either, or
both, preparation for trial or arbitration, or during trial or
arbitration, of the case by the prevailing party.