Week 3
Snack Cake Security (graded)
Your company has a special recipe for snack cakes. This snack cake is a key product in your
company's lineup, and it is responsible for a large majority of shareholder value. Using a
security model described in the text, describe an approach that will allow this important
recipe to be kept secure.
Snack Cake Security Professor Koonjbearry 11/9/2014 8:24:59 PM
Does calling a recipe a trade secret really provide any protection? (Calling a recipe a trade
secret provides no legal protection. Protection is achieved through non-disclosure agreements
in contracts which can be enforced.)
Discuss the issue that someone could apply for a patent for the snack cake. As silly as this
sounds, there is a patent for the "sealed crustless sandwich" which was purchased by
Smuckers for its Uncrustable peanut butter and jelly sandwich.
http://www.freepatentsonline.com/6004596.html
Discuss why Smuckers also tried to patent the technique that is used to crimp the edges of the
Uncrustable, and was not awarded a patent.
RE: Snack Cake Security William Goetsch 11/10/2014 12:14:35 PM
1.) Does calling a recipe a trade secret really provide any protection?
A trade secret is some information that gives a company an advantage over its competitors.
The value of a trade secret lies in the fact that it is not widely known, and making it known
would diminish that value.
Trade secrets are protected under law, however there is no formal registration procedure.
Protection lasts only as long as the trade secret remains that way (a secret), but can last
forever if nobody discloses the secret.
If your secret becomes known, then it is no longer a trade secret, and you are no longer
entitled to trade secret protection. This is true even if the secret was revealed illegally,
although you may have options for seeking compensation. A trade secret can also be revealed
legally, and you have no recourse in this case, even if it was not your intention to reveal it.
RE: Snack Cake Security Professor Koonjbearry 11/11/2014 8:54:22
AM
A recipe can be a trade secret like Kentucky Fried Chicken
RE: Snack Cake Security Robert Meza 11/11/2014 4:28:59 PM
It is my belief that yes a secret recipe can be considered a trade secret, as long as no one
,discloses the secret of the recipe once that information has been disclosed and made public it
will no longer be considered secret and at that time will no longer be a " " secret recipe.
RE: Snack Cake Security Robert Batten Jr 11/12/2014 10:47:22 AM
It is amazing to me when you consider the sodas and their recipes are pretty much the same
on the can sans a change in a gram or two of sugar but the taste of them is distinctly different.
The sodas that I'm talking about Coke, Pepsi, and RC Cola.
RE: Snack Cake Security Professor Koonjbearry 11/12/2014
11:15:24 AM
The taste is public but the recipe to the taste is secret
RE: Snack Cake Security Kevin Rankin 11/15/2014 10:41:58 PM
The part of this conversation I find quite interesting is that when I pick up a can of soda I can
look at the back and see the ingredients. If the recipes can be secret but the company is
required by law to display their ingredients how can they really protect their recipe? I know
that the ingredients are listed from highest quantity to lowest. I would like to know more
about this. I know companies can require employees to sign NDA's which hold them
financially liable for disclosing trade secrets. I would be a scared CEO to disclose this
valuable information to the government.
RE: Snack Cake Security William Goetsch 11/12/2014 11:46:01 AM
It's more or less chemistry at this point. They may all use the same ingredients but the
process and time in which they are added is different, which means things absorb differently
and react differently, which will change taste, color, aroma, etc. So the way in which they
add the ingredients (or "the process") is what they keep secret, so they can't be duplicated.
RE: Snack Cake Security Hien Tran 11/12/2014 8:03:49 PM
I agree with you. It's just like making a cake. You don't just take a list of ingredients, mix
them in a bow and then bake it. The process is every bit as important as the ingredients and
much harder to determine. Also, part of the success of the companies along with its trade
secret is the name associated with it. Consumers won't buy fake products when the real
products cost something like $1-$2 a can.
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:10:37
AM
Let's suppose I make a cake using Sugar, Butter, Baking Powder and eggs. What is the
secret?
, RE: Snack Cake Security Robert Meza 11/14/2014 3:15:07 PM
I believe the proof is in the pudding, a dash of this, a pinch of that i think the secret is in the
measurements, and how things are put together.
RE: Snack Cake Security Neliswa Masondo- Steed 11/14/2014 7:51:06
PM
I agree with William, the recipe may contain obvious products but process of making the
final product may be different which makes it unique. This way the process of making the
product is not obvious, which is why the person who invented it keeps it a secret. The food
product needs to result in something that is unexpected. For example the ingredients may be
traditional ingredients but the measurements and process it takes to get the end product is
unique and nontraditional.
RE: Snack Cake Security Steven Rangel 11/15/2014 2:13:52 PM
I can definitely see the how these rules can apply in the real world. I believe in the end it
comes down to what exactly each company may want to do for their benefit.
RE: Snack Cake Security Neliswa Masondo- Steed 11/16/2014 8:43:45
PM
True Steven, and what most companies do once they have a product that they feel is a trade
secret is that they make employees sign a confidentiality agreements and non-disclosure
forms. They also create policies that make employees aware of the repercussions if they do
not comply. Also only employees that need to know or use the trade secret have access to
that information.
RE: Snack Cake Security Gladis Edwards 11/12/2014 10:57:34 PM
What is disclosed I believe is what is in it to some degree but not the exact content. The
ingredients listed can have more or less in each which is what makes them unique but the
exact measurement of each is the trade secret.
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:11:49
AM
Can measurement of an ingredient in a cake recipe be considered IP?
RE: Snack Cake Security Hien Tran 11/15/2014 10:57:53 PM
My understanding is that the ingredient list is not copyrighted, but the instructions are.
Recipes (as in the measured list of ingredients) and very short directions on how to combine
those ingredients are not protected under the various forms of copyright law. This is because
they fall under the designation of being the steps in a procedure and they're explicitly
excluded from copyright. What can be considered copyrighted are the more complex
directions that usually accompany the list of ingredients in modern recipes.
, RE: Snack Cake Security Neliswa Masondo- Steed 11/16/2014 8:59:02
PM
I highly doubt that measurements can be considered Intellectual Property. There is nothing
unique about changing the measurements. It would have to take a completely unique
preparation process that yields unique results for measurements to be considered IP.
Changing measurements is obvious and can be done by anyone who has access to the
ingredients, nothing new!
RE: Snack Cake Security James Porter 11/12/2014 1:42:51 PM
This site talks about several popular trade secrets. I like the one mentioned about Listerine.
The recipe was originated by Dr. J.J. Lawrence and then licensed to a pharmaceutical
company in the 1880's which later became Pfizer, Inc. The company paid royalties to the
Lawrence family until the recipe became public and then filed suit to end payments. The
court sided with the Lawrence family because the license for the recipe did not mention
anything about stopping the payments even though the recipe was now public. Some of the
other trade secret recipes include WD-40, Twinkie, Krispy Kreme Doughnuts, and Big Mac
special sauce.
http://money.howstuffworks.com/10-trade-secrets.htm#page=0
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:12:26
AM
That is interesting
RE: Snack Cake Security Gladis Edwards 11/16/2014 9:14:40 PM
That is a very good point and example. Those are all unique products that everyone knows
and mention by brand name. I wonder if you use a recipe and you adjusted it by an ounce or
something would that clear you of IP?
RE: Snack Cake Security Cecil Roscoe 11/12/2014 5:44:47 PM
I believe its just a thing to make it sound rare. Simply an advertisement technique is what I
believe a trade secret is all about. Sometimes however it is not. It is suppose to be highly
guarded technique that makes its product unique. Like with KFC, I was actually watching a
documentary on them the other day about their secret. Along with their I think its 7 herbs
and spices they cook the chicken in a high pressured fryer. This secret is what distinguishes
their chicken from lets day Bo-Jangles. On the other hand, like with McDonald's everyone
knows the secret sauce is thousand islands salad dressing.
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:13:28
AM
I am not sure if there is a secret there or just a marketing gimmick
RE: Snack Cake Security Cecil Roscoe 11/15/2014 3:50:35 PM
I would tend to agree with you Prof, but in the case of KFC the way they prepare the chicken
I would say is a trade secret as it is a unique way of the cooking of the chicken that makes it
Snack Cake Security (graded)
Your company has a special recipe for snack cakes. This snack cake is a key product in your
company's lineup, and it is responsible for a large majority of shareholder value. Using a
security model described in the text, describe an approach that will allow this important
recipe to be kept secure.
Snack Cake Security Professor Koonjbearry 11/9/2014 8:24:59 PM
Does calling a recipe a trade secret really provide any protection? (Calling a recipe a trade
secret provides no legal protection. Protection is achieved through non-disclosure agreements
in contracts which can be enforced.)
Discuss the issue that someone could apply for a patent for the snack cake. As silly as this
sounds, there is a patent for the "sealed crustless sandwich" which was purchased by
Smuckers for its Uncrustable peanut butter and jelly sandwich.
http://www.freepatentsonline.com/6004596.html
Discuss why Smuckers also tried to patent the technique that is used to crimp the edges of the
Uncrustable, and was not awarded a patent.
RE: Snack Cake Security William Goetsch 11/10/2014 12:14:35 PM
1.) Does calling a recipe a trade secret really provide any protection?
A trade secret is some information that gives a company an advantage over its competitors.
The value of a trade secret lies in the fact that it is not widely known, and making it known
would diminish that value.
Trade secrets are protected under law, however there is no formal registration procedure.
Protection lasts only as long as the trade secret remains that way (a secret), but can last
forever if nobody discloses the secret.
If your secret becomes known, then it is no longer a trade secret, and you are no longer
entitled to trade secret protection. This is true even if the secret was revealed illegally,
although you may have options for seeking compensation. A trade secret can also be revealed
legally, and you have no recourse in this case, even if it was not your intention to reveal it.
RE: Snack Cake Security Professor Koonjbearry 11/11/2014 8:54:22
AM
A recipe can be a trade secret like Kentucky Fried Chicken
RE: Snack Cake Security Robert Meza 11/11/2014 4:28:59 PM
It is my belief that yes a secret recipe can be considered a trade secret, as long as no one
,discloses the secret of the recipe once that information has been disclosed and made public it
will no longer be considered secret and at that time will no longer be a " " secret recipe.
RE: Snack Cake Security Robert Batten Jr 11/12/2014 10:47:22 AM
It is amazing to me when you consider the sodas and their recipes are pretty much the same
on the can sans a change in a gram or two of sugar but the taste of them is distinctly different.
The sodas that I'm talking about Coke, Pepsi, and RC Cola.
RE: Snack Cake Security Professor Koonjbearry 11/12/2014
11:15:24 AM
The taste is public but the recipe to the taste is secret
RE: Snack Cake Security Kevin Rankin 11/15/2014 10:41:58 PM
The part of this conversation I find quite interesting is that when I pick up a can of soda I can
look at the back and see the ingredients. If the recipes can be secret but the company is
required by law to display their ingredients how can they really protect their recipe? I know
that the ingredients are listed from highest quantity to lowest. I would like to know more
about this. I know companies can require employees to sign NDA's which hold them
financially liable for disclosing trade secrets. I would be a scared CEO to disclose this
valuable information to the government.
RE: Snack Cake Security William Goetsch 11/12/2014 11:46:01 AM
It's more or less chemistry at this point. They may all use the same ingredients but the
process and time in which they are added is different, which means things absorb differently
and react differently, which will change taste, color, aroma, etc. So the way in which they
add the ingredients (or "the process") is what they keep secret, so they can't be duplicated.
RE: Snack Cake Security Hien Tran 11/12/2014 8:03:49 PM
I agree with you. It's just like making a cake. You don't just take a list of ingredients, mix
them in a bow and then bake it. The process is every bit as important as the ingredients and
much harder to determine. Also, part of the success of the companies along with its trade
secret is the name associated with it. Consumers won't buy fake products when the real
products cost something like $1-$2 a can.
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:10:37
AM
Let's suppose I make a cake using Sugar, Butter, Baking Powder and eggs. What is the
secret?
, RE: Snack Cake Security Robert Meza 11/14/2014 3:15:07 PM
I believe the proof is in the pudding, a dash of this, a pinch of that i think the secret is in the
measurements, and how things are put together.
RE: Snack Cake Security Neliswa Masondo- Steed 11/14/2014 7:51:06
PM
I agree with William, the recipe may contain obvious products but process of making the
final product may be different which makes it unique. This way the process of making the
product is not obvious, which is why the person who invented it keeps it a secret. The food
product needs to result in something that is unexpected. For example the ingredients may be
traditional ingredients but the measurements and process it takes to get the end product is
unique and nontraditional.
RE: Snack Cake Security Steven Rangel 11/15/2014 2:13:52 PM
I can definitely see the how these rules can apply in the real world. I believe in the end it
comes down to what exactly each company may want to do for their benefit.
RE: Snack Cake Security Neliswa Masondo- Steed 11/16/2014 8:43:45
PM
True Steven, and what most companies do once they have a product that they feel is a trade
secret is that they make employees sign a confidentiality agreements and non-disclosure
forms. They also create policies that make employees aware of the repercussions if they do
not comply. Also only employees that need to know or use the trade secret have access to
that information.
RE: Snack Cake Security Gladis Edwards 11/12/2014 10:57:34 PM
What is disclosed I believe is what is in it to some degree but not the exact content. The
ingredients listed can have more or less in each which is what makes them unique but the
exact measurement of each is the trade secret.
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:11:49
AM
Can measurement of an ingredient in a cake recipe be considered IP?
RE: Snack Cake Security Hien Tran 11/15/2014 10:57:53 PM
My understanding is that the ingredient list is not copyrighted, but the instructions are.
Recipes (as in the measured list of ingredients) and very short directions on how to combine
those ingredients are not protected under the various forms of copyright law. This is because
they fall under the designation of being the steps in a procedure and they're explicitly
excluded from copyright. What can be considered copyrighted are the more complex
directions that usually accompany the list of ingredients in modern recipes.
, RE: Snack Cake Security Neliswa Masondo- Steed 11/16/2014 8:59:02
PM
I highly doubt that measurements can be considered Intellectual Property. There is nothing
unique about changing the measurements. It would have to take a completely unique
preparation process that yields unique results for measurements to be considered IP.
Changing measurements is obvious and can be done by anyone who has access to the
ingredients, nothing new!
RE: Snack Cake Security James Porter 11/12/2014 1:42:51 PM
This site talks about several popular trade secrets. I like the one mentioned about Listerine.
The recipe was originated by Dr. J.J. Lawrence and then licensed to a pharmaceutical
company in the 1880's which later became Pfizer, Inc. The company paid royalties to the
Lawrence family until the recipe became public and then filed suit to end payments. The
court sided with the Lawrence family because the license for the recipe did not mention
anything about stopping the payments even though the recipe was now public. Some of the
other trade secret recipes include WD-40, Twinkie, Krispy Kreme Doughnuts, and Big Mac
special sauce.
http://money.howstuffworks.com/10-trade-secrets.htm#page=0
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:12:26
AM
That is interesting
RE: Snack Cake Security Gladis Edwards 11/16/2014 9:14:40 PM
That is a very good point and example. Those are all unique products that everyone knows
and mention by brand name. I wonder if you use a recipe and you adjusted it by an ounce or
something would that clear you of IP?
RE: Snack Cake Security Cecil Roscoe 11/12/2014 5:44:47 PM
I believe its just a thing to make it sound rare. Simply an advertisement technique is what I
believe a trade secret is all about. Sometimes however it is not. It is suppose to be highly
guarded technique that makes its product unique. Like with KFC, I was actually watching a
documentary on them the other day about their secret. Along with their I think its 7 herbs
and spices they cook the chicken in a high pressured fryer. This secret is what distinguishes
their chicken from lets day Bo-Jangles. On the other hand, like with McDonald's everyone
knows the secret sauce is thousand islands salad dressing.
RE: Snack Cake Security Professor Koonjbearry 11/14/2014 8:13:28
AM
I am not sure if there is a secret there or just a marketing gimmick
RE: Snack Cake Security Cecil Roscoe 11/15/2014 3:50:35 PM
I would tend to agree with you Prof, but in the case of KFC the way they prepare the chicken
I would say is a trade secret as it is a unique way of the cooking of the chicken that makes it
