Protecting source code from theft during developme

Question

Is there any way to protect my code during development so that if a developer leaves my company they are unable to access files in my project?

This is especially important with TFS where the project is downloaded locally, cached, and available for offline use. Ideally the code would be unreadable if they did not have a valid Active Directory user ID.

Even if this idea is not possible, I'd like to learn of any practical deterrent you can think of...

Answer 1

Assuming they can read the code and compile it while they are there, there's not a lot you can do (unless you ban USB sticks, CR writers, scan all their email etc, and even then they'd find a way of defeating that).

Cover it in the employment contract, make it clear that if the code turns up there will be legal action.

(I've had this happen to me in a past life - an employee did take the code with him. We knew due to an error he made in doing it, and we sent a letter from our laywers pointing out the consequences of him revealing the code to anyone else. It seemed to work)