Overview
May 2026 marks the ten-year anniversary of the Defend Trade Secrets Act (DTSA)—a milestone that highlights how dramatically federal trade secret enforcement has grown during the past decade. According to Lex Machina’s newly released 2026 Trade Secret Litigation Report, federal trade secret filings reached an all-time high in 2025, with more than 1,500 cases filed in district courts. This surge reflects a sustained upward trajectory driven by rapid technological change, including the rise of AI tools and increased employee mobility.
Trade secrets occupy a unique position within the intellectual property landscape. Unlike patents, which require prosecution, or trademarks, which require use in commerce, trade secrets can be created instantly—and lost just as quickly. Combined with their natural overlap with employee movement and evolving technologies, trade secrets have become an increasingly critical battleground for companies seeking to preserve competitive advantage.
Given the record-setting pace of new filings, organizations should take proactive steps to strengthen and modernize their trade secret programs. This includes reviewing how confidential information is generated, stored, and tracked; reevaluating employee agreements and confidentiality training; and ensuring in-house counsel remain current on legal developments. One such development is the Sedona Conference Working Group on Trade Secrets’ Defend Trade Secrets Act Model Jury Instructions published for public comment in December 2025, which synthesize key principles applied across courts and highlight areas where federal circuits diverge in applying the DTSA.
Steptoe will continue monitoring these trends and advising clients on how best to update their policies, safeguard their assets, and position themselves effectively in an increasingly active area of IP litigation.
