Patrick Keating

Texas Trade Secrets

Category: Criminal Penalties

Update on Astros Hacking Story

January 31, 2017 Update: ABC News reports that Major League Baseball completed its investigation of the hacking incident and (i) ordered the St. Louis Cardinals to pay $2 million to the Houston Astros within 30 days and (ii) transferred the Cardinals’ top two draft picks in the 2017 draft to the Astros.

July 25, 2016 Update: On July 18, 2016 the court sentenced Chris Correa to 46 months imprisonment and to pay $279,038 in restitution.

In a prior post, I discussed the FBI investigation into whether the St. Louis Cardinals hacked into the Houston Astros’ computer network.  At that time, the FBI believed that a Cardinals’ employee was able to do so because the Astros’ General Manager previously worked for the Cardinals and re-used Cardinals’ computer passwords in the Astros’ computer system.

On January 8, 2016, the Cardinals’ former scouting director, Chris Correa, pled guilty to five counts of Unauthorized Access of a Protected Computer.  The maximum penalty is a $250,000 fine for each count and five years in prison. Continue reading

Increasing Federal Prosecution of Trade Secret Theft

Over the last seven years, federal investigations and prosecutions for theft of trade secrets have increased.  A Dallas chemical engineer’s guilty plea earlier this month is a sign of that trend.  Continue reading

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