The simple answer is: by keeping it secret. There are no forms to fill out or applications to register. If the possessor of the secret exercises reasonable means to keep the information a trade secret, then as long as the information stays secret and has economic value, then trade secret protection will be legally available should it ever become necessary.
What is a trade secret?
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 the public or to 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.” (Restatement of Torts)
A trade secret is confidential information that gives your company its market advantage. Trade secrets can include recipes, manufacturing processes, chemical combinations and anything else that sets you apart from your competition and makes your product great. The classic example of a trade secret is the recipe for Coca Cola.
How is a trade secret protected?
Trade secrets are first and foremost protected by individual business owners. Trade secrets must be protected from the marketplace and potential competitors. If your company has employees, ask that each employee to sign a non-disclosure agreement before telling them anything about your trade secrets.
Additional examples of measures some companies have taken to protect their trade secrets include only giving each employee one part of the information and making resigning employees sign a non-disclosure agreement that is placed in their permanent file. This reminder is then mentioned to any future employers to ensure the future employers are aware that the information is a trade secret.
Are there any laws that protect trade secrets?
Some states currently have laws that allow business owners to seek an injunction against anyone who threatens to release trade secrets. In most state courts, this claim is known as Trade Secret Misappropriation.