Reference no: EM133388715

Bill is a sole proprietor who makes and sells furniture in the U.S.

June 1, 2019: Bill sketched drawings of a new chair. The drawings contain the measurements of the chair, a unique wave-shaped design for the seat of the chair (which Bill chose because it gives the chair an attractive appearance), and an engraving of a horse on the back of the chair. The same day, Bill posted the drawings of the chair on his business website and social media accounts.

July 1, 2019: Bill starts making the chair using templates based on his drawings, including templates for the wave-shaped seat and horse engraving. Bill starts advertising and selling the chair as "The King James" chair.

July-Dec. 2019: Bill hires Xavier and two other employees to help make the chairs using Bill's templates. He sells a large number of chairs. As a result of his sales and marketing (and the chair's popularity), the wave-shaped seat and the horse engraving both become recognizable to consumers as identifying Bill's chairs.

Jan. 1, 2020: Bill's employee, Xavier, hacked into Bill's password-protected computer without permission and (1) makes a copy of Bill's drawings for the chair (including the chair's measurements) and (2) makes a copy of Bill's confidential pricing information, which Bill alone handles and does not share with his employees and which includes the prices Bill has negotiated with different suppliers and the discounts he gives to different retailers.

April 1, 2020: Xavier quits working for Bill and goes to work for Bill's competitor, where he develops and starts selling a chair named "The King George" that has the same measurements and wave-shaped seat as Bill's chair, but with an etching of a donkey on the back of the chair. By using Bill's confidential pricing information shared by Xavier, the competitor is able to undercut Bill's business by offering slightly higher prices to Bill's suppliers and slightly bigger discounts to Bill's retailers.

Question

What legal strategies might Bill be able to use to prevent future employees from going to work for competitors as Xavier did? Explain your reasoning.