Utah
Utah Trade Secret Laws: UTSA, Remedies & Deadlines
Utah enacted the Utah Uniform Trade Secrets Act (UUTSA) in 1989, making it one of the earlier states to adopt the UTSA framework. The statute is codified at Utah Code §§ 13-24-1 to 13-24-9 and sets a three-year civil limitations period measured from discovery or when discovery should have occurred with reasonable diligence (§ 13-24-7).
This guide is part of our Trade Secret Laws by State series.
Information last verified on 2026-06-25. This article presents general legal information, not legal advice. For guidance specific to your situation, consult an attorney licensed in Utah and review the full Utah trade secret statute at Trade Secret Laws by State.
Does Utah have a trade secret law?
Utah enacted the Utah Uniform Trade Secrets Act in 1989, placing it among the earlier states to codify the UTSA framework developed by the Uniform Law Commission. The statute is codified at Utah Code §§ 13-24-1 to 13-24-9 and is available on the Utah Legislature's official website at le.utah.gov. UUTSA provides a civil cause of action for trade secret misappropriation and preempts conflicting tort, restitution, and other state-law claims relating to misappropriation (§ 13-24-8), replacing the prior common-law patchwork. The federal Defend Trade Secrets Act of 2016 (18 U.S.C. §§ 1836-1839) does not preempt Utah's statute (18 U.S.C. § 1838), so both laws operate in parallel on qualifying claims.
What counts as a trade secret and misappropriation in Utah?
Under Utah Code § 13-24-2(4), a trade secret is information, including a formula, pattern, compilation, program, device, method, technique, or process, that:
- derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use; and
- is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.
Both elements are required. The first prong asks whether the information provides a competitive edge precisely because it is not publicly available. The second prong asks whether the owner actively protects that secrecy through reasonable measures. Information that the owner freely shares internally or allows employees to take away without restriction may fail the second prong even if it has commercial value.
Misappropriation under § 13-24-2(2) means acquisition of a trade secret by improper means, or disclosure or use without consent by a person who used improper means or who knew, or had reason to know, the secret was acquired improperly or under a duty to maintain secrecy. Reverse engineering and independent development are expressly lawful (§ 13-24-2(2)(ii)). A competitor who independently discovers the same formula or method through legitimate research has not misappropriated a trade secret under UUTSA.
Remedies and the limitations period in Utah
Utah courts may issue injunctive relief to stop actual or threatened misappropriation (§ 13-24-3). In exceptional circumstances a court may condition continued use of a trade secret on payment of a reasonable royalty rather than issuing an outright injunction.
Damages under § 13-24-4 include actual loss caused by the misappropriation and unjust enrichment of the misappropriator not captured by the actual-loss figure. If neither is provable, a court may award a reasonable royalty for the period of unauthorized use. Willful and malicious misappropriation may result in exemplary damages up to two times the compensatory award (§ 13-24-4(2)). Attorney fees are available to the prevailing party when a claim, motion, or defense was made in bad faith, or when willful and malicious misappropriation was proven (§ 13-24-5).
The civil limitations period is three years from the date the claimant discovers, or by the exercise of reasonable diligence should have discovered, the misappropriation (§ 13-24-7). Utah does not deviate from the standard UTSA three-year period. Because the statute measures from discovery (or constructive discovery), a business that fails to investigate suspicious conduct promptly may find that the limitations period began running before it realized a misappropriation had occurred.
How the federal DTSA applies in Utah
The Defend Trade Secrets Act, 18 U.S.C. §§ 1836-1839, provides a federal civil cause of action for misappropriation of trade secrets related to interstate or foreign commerce. Because it does not preempt state law (18 U.S.C. § 1838), Utah businesses can plead both a UUTSA claim and a DTSA claim simultaneously. The DTSA's three-year limitations period from discovery (§ 1836(d)) mirrors Utah's period, but the DTSA adds ex parte seizure orders (§ 1836(b)(2)) that UUTSA does not provide, allowing a court to seize property to prevent propagation or dissemination of a trade secret before a hearing.
Any confidentiality agreement, employment agreement, or similar contract signed or updated after May 11, 2016, must include a notice of whistleblower immunity under 18 U.S.C. § 1833(b)(3), informing the other party that they will not be held civilly or criminally liable for disclosing a trade secret to the government or an attorney in reporting a suspected violation of law. Omitting the notice does not void the agreement but eliminates the employer's right to seek exemplary damages and attorney fees under the DTSA in any later lawsuit. Criminal trade secret theft may also be prosecuted under the federal Economic Espionage Act, 18 U.S.C. §§ 1831-1832.
This article presents general legal information as of 2026-06-25 and is not legal advice. Trade secret law is fact-intensive and outcomes depend on the specific circumstances of each case. Consult an attorney licensed in Utah before taking action to protect trade secrets or respond to a misappropriation claim.
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- Trade Secret Laws by State
- Texas Trade Secret Laws: UTSA, Remedies & Deadlines
- Virginia Trade Secret Laws: UTSA, Remedies & Deadlines
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Last updated: 2026-06-25.
Frequently Asked Questions
What qualifies as a trade secret under Utah law?
Under Utah Code § 13-24-2(4), qualifying information includes formulas, patterns, compilations, programs, devices, methods, techniques, and processes. The information must derive independent economic value from not being generally known or readily ascertainable and must be subject to reasonable secrecy efforts. Common examples include proprietary software code, manufacturing processes, customer lists, pricing strategies, and business plans, provided the owner consistently treats them as confidential and takes active steps to prevent unauthorized access.
How long does a business have to sue for trade secret misappropriation in Utah?
Utah Code § 13-24-7 sets a three-year limitations period, measured from the date the claimant discovers the misappropriation or, with reasonable diligence, should have discovered it. If a business delays investigating suspicious conduct and a reasonable investigation would have revealed the misappropriation earlier, a court may start the limitations clock from that earlier date. Prompt action after learning of potential misappropriation is important to preserve the civil claim.
What remedies are available in a Utah trade secret case?
Utah courts can award injunctive relief, actual damages plus unjust enrichment, or a reasonable royalty if damages are not otherwise provable (Utah Code §§ 13-24-3 to 13-24-4). Willful and malicious misappropriation can result in exemplary damages up to twice the compensatory award (§ 13-24-4(2)), and attorney fees may be awarded for bad-faith claims or willful-and-malicious misappropriation (§ 13-24-5).
What steps should a business take to protect trade secrets in Utah?
UUTSA requires efforts that are reasonable under the circumstances to maintain secrecy as a condition of trade secret status (§ 13-24-2(4)). Practical measures include executing non-disclosure agreements with employees and contractors, restricting access to sensitive information on a need-to-know basis, marking confidential documents clearly, using secure systems and passwords, and training employees on confidentiality obligations. Courts evaluate the totality of protective measures, so a layered approach is more defensible than relying on any single safeguard.
Can I bring both a Utah UUTSA claim and a federal DTSA claim?
Yes. The DTSA does not preempt Utah's trade secret statute (18 U.S.C. § 1838), so a plaintiff may pursue both claims simultaneously. A DTSA claim requires the trade secret to relate to interstate or foreign commerce and must be filed within three years of discovery (§ 1836(d)). The DTSA also provides ex parte seizure relief that UUTSA does not, and requires a whistleblower-immunity notice in post-May 11, 2016 confidentiality agreements to preserve the right to seek exemplary damages and attorney fees under federal law.
Sources and References
- Utah Uniform Trade Secrets Act, Utah Code §§ 13-24-1 to 13-24-9(le.utah.gov).gov
- Defend Trade Secrets Act, 18 U.S.C. §§ 1836-1839(law.cornell.edu)
- Uniform Trade Secrets Act (Uniform Law Commission)(uniformlaws.org)
- Economic Espionage Act, 18 U.S.C. §§ 1831-1832(law.cornell.edu)