What happened
TSMC initiated legal action against former Senior Vice President Wei-Jen Lo in the Intellectual Property and Commercial Court, alleging breaches of non-disclosure and non-compete agreements following his move to Intel as an Executive Vice President. Despite a March 2024 reassignment removing Lo from direct R&D involvement, he reportedly maintained engagement with R&D teams. TSMC claims a high probability of trade secret misappropriation and seeks damages, coinciding with a Taiwanese prosecutorial probe into advanced chipmaking technology leaks. Lo had previously informed TSMC legal counsel of plans to join an academic institution.
Why it matters
This action introduces a significant accountability gap in post-employment contractual enforcement and intellectual property protection, increasing exposure for legal and compliance teams to potential trade secret misappropriation. The alleged continued R&D engagement post-reassignment, coupled with a misleading stated career path, highlights a reduced control over employee transitions and information access. This raises due diligence requirements for human resources and security operations in monitoring departing high-value personnel and validating their stated intentions, particularly concerning sensitive technological assets.
