On August 26, 2025, in NRA Group, LLC v. Durenleau et al., the U.S. Court of Appeals for the Third Circuit addressed two legal questions: (1) whether workplace policy infractions can turn into federal crimes, and (2) whether passwords protecting propriety business information qualify as trade secrets under federal or Pennsylvania law.

The case was reheard and affirmed on October 7, 2025, with the Third Circuit firmly answering both questions in the negative. The decision significantly limits employers’ potential claims against employees who breach company policies without engaging in actual hacking or unauthorized access.Continue Reading Passwords, Policies, and Trade Secrets: Lessons from NRA Group v. Durenleau and what it Means for Employers