Question
Phillips manufactures single-pole tree standsa device that allows hunters to sit perched in a tree to await deer or other game. A group of investors
Phillips manufactures "single-pole" tree standsa device that allows hunters to sit perched in a tree to await deer or other game. A group of investors expressed interest in buying the venture, and purchase negotiations began. In the course of the process, Phillips sent the investors information about his company, including prospectuses and videotapes. Phillips also gave the investors a tour of the plant and showed them firsthand the manufacturing process. Although Phillips had never patented his tree stand, he knew that without knowledge of the manufacturing process, building the stand would be cost-prohibitive. During the course of the negotia- tions, the investors bought several samples of the stand. Although Phillips wanted to sell the company and tried to make several concessions in the pur- chase price, the investors were unable to obtain fi- nancing, and the deal fell through. Sometime company later, a founded by the investors began to manu- facture nearly identical "single-pole" Phillips tree stands. sued for trade secret misappropriation, the but investors claimed that they had lawfully engineered reverseand why? What the tree stand. Which party should win type of remedy, if any, should court award?
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