Kuryakyn Holdings, LLC, is a motorcycle aftermarket parts design company. In January 2014, Thomas Rudd, the chairman

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Kuryakyn Holdings, LLC, is a motorcycle aftermarket parts design company. In January 2014, Thomas Rudd, the chairman of Kuryakyn, took Madden, Lindolf, and May, Kuryakyn’s only design engineers, to dinner and convinced them to work for Ciro, LLC. Ciro is a company originally founded by Rudd’s son, Aero, to make UTV aftermarket. Rudd resigned from the chairman position at Kuryakyn a month after the dinner took place.

In 2015, Ciro began selling aftermarket motorcycle parts such as cylinder bar covers, handlebar covers, and megaphone mufflers. Kuryakyn sued Ciro for, among other things, stealing Kuryakyn’s trade secrets incorporated in the aftermarket parts. In its claims, Kuryakyn listed the following as its trade secrets:

(1) Design drawings, specifications, and other engineering information for new products and anticipated changes to current Kuryakyn products.

(2) Techniques for the design and manufacture of Kuryakyn’s products, including knowledge of computer hardware and software used in the design process and “the creation and use of fixtures designed to assemble . . . parts in a costeffective way.”

(3) Market research and information on consumer demand for new products and changes to current Kuryakyn products.

(4) “Cost structures, prices, and pricing strategies”

of products.

(5) “Budgets, operating plans, strategic plans, and product and process plans and projections,” including “[i]nformation about Kuryakyn’s development of a smartphone app for controlling colored lights applied to motorcycles.”

(6) Contact information for “[c]ustomers and purchasers of motorcycle parts and accessories.

(7) Contact information for and information about the manufacturing and production capabilities of five “[q]ualified suppliers of motorcycle parts and accessories.” and 

(8) “[S]olicitations from potential suppliers and customers seeking to serve as distributors, as well as ideas for new products.”

Based on the definition of a trade secret in this chapter, do you think the court found that any items on the list should be considered trade secrets?

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Dynamic Business Law

ISBN: 9781260247893

5th Edition

Authors: Nancy Kubasek, M. Neil Browne, Daniel Herron, Lucien Dhooge, Linda Barkacs

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