Navigating a Critical Year in Trade Secrets and Noncompetes: Analysis of the Year’s Key Cases and Trends

2025 marked an important turning point for trade secrets, noncompetes, and other restrictive covenants governing employee mobility.

Despite the failure of the Federal Trade Commission’s attempt to impose a nationwide ban on employee noncompete agreements, federal regulatory and judicial scrutiny has increased with health care emerging as a priority sector and case-specific actions in other industries. Some state legislatures have tightened noncompete rules while others have loosened restrictions.  

Trade secret litigation intensified in 2025, with outsized verdicts and consequential appellate guidance. Risk and compliance demands have been amplified by developing technologies, including artificial intelligence and complex data center collaborations. Total litigation reached an all-time high, with more than 1,500 plaintiffs filing cases. 

As these trends continue in 2026, tailored, industry- and jurisdiction-specific strategies for trade secret protection will be even more essential. 

Download ArentFox Schiff’s Complete Annual 2025 Trade Secrets End of Year Report.