trade secret

noun

: something (such as a formula) which has economic value to a business because it is not generally known or easily discoverable by observation and for which efforts have been made to maintain secrecy

Examples of trade secret in a Sentence

Recent Examples on the Web

The domestic and international protections afforded by patents, trademarks, copyrights, and trade secret law supports the need for identifying the location of the IP. —Priya Prakash Royal Esq. Ll.m. Mba Aep Tep, Forbes.com, 1 Sep. 2025

Cyber extortion, where hackers steal information like sensitive user data or trade secrets, is a common criminal tactic. —Kevin Collier, NBC news, 27 Aug. 2025

Companies use noncompete agreements to protect trade secrets and vital information, and nonsolicitation agreements seek to prevent departing workers from raiding employees and clients. —Aldo Svaldi, Denver Post, 21 Aug. 2025

In law, a trade secret is a type of information that provides a competitive business advantage, is not known or shared with the public and reflects meaningful efforts designed to keep this information secret. —Michael McCann, Sportico.com, 18 Aug. 2025

Word History

First Known Use

1825, in the meaning defined above

Legal Definition

trade secret

noun

trade se·​cret

: a formula, process, device, or item of information used by a business that has economic value because it is not generally known or easily discovered by observation or examination and for which reasonable efforts to maintain secrecy have been made

Note: Trade secrets are a form of intellectual property. Many states have enacted laws which create an action for damages or injunctive relief against misappropriation of trade secrets by improper means. Information contained in a patent is not protected as a trade secret.