A person has a privilege to refuse to disclose, and to prevent other persons from disclosing, a trade secret owned by that person if the allowance of the privilege will not conceal fraud or otherwise work injustice. When the court directs disclosure, it shall take the protective measures that the interests of the holder of the privilege, the interests of the parties, and the furtherance of justice require. The privilege may be claimed by the person or the person’s agent or employee.
Fla. Stat. § 90.506 — Privilege with respect to trade secrets
Purpose of the Privilege: This rule protects valuable, confidential business information—such as a secret formula, process, or customer list—from being publicly disclosed during a lawsuit. The goal is to protect the commercial value of these secrets.
A Qualified Privilege: This privilege is not absolute. A person can refuse to disclose a trade secret only if doing so will not be used to cover up fraud or create an injustice in the case. The judge must perform a balancing test, weighing the need for the information in the lawsuit against the harm that disclosure would cause to the owner of the trade secret.
Protective Measures: If the judge decides that the trade secret is essential to the case and must be disclosed, the court is required to take steps to protect it. These measures can include:
- Holding a private hearing in the judge's chambers (in camera).
- Sealing the court records that contain the secret.
- Issuing a protective order that limits who can view the information and for what purpose.