Trade secrets are kept secret and thus not disclosed to the public at large. The owner or creator takes concurrent steps and prevent J his knowledge from slipping out his hands to its rival side.
Protection of trade secrets
Trade secrets are kept secret and thus not disclosed to the public at large. The owner or creator takes concurrent steps and prevent J his knowledge from slipping out his hands to its rival side.
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In exchange of getting the chance to be appointed by the holder of trade secrets, a worker will ready to sign a contract not to disclose any material information and data of his employer.
Any negligence or violation of the same will means an imposition of financial penalties. Other business associates or companies with whom the inventor is engaged are often signed a same contract and any negligence will lead to fine or penalties.
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If any company by unlawful means try to find out trade secrets of other company then he will be held legally responsible under that country’s act in which it has been happened.
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If trade secret has been obtained via industrial espionage, then it will be called illegal and the person or company involved in it shall be found guilty for legal liability.
Trade Secrets Infringement:
Misappropriate use of trade secrets can be called an unfair practice. The Uniform Trade Secrets Act of the USA defines misappropriation as –
(i) Acquiring trade secrets related of other by a person who has strong belief or reason that it was acquired by wrongfully doings.
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(ii) Disclosing or using trade secrets of other person without any implied consent of its owner.
As per the Uniform Trade Secrets Act ‘improper means’ include “theft, bribery, misrepresentation, breach or inducement of a breach of duty to maintain secrecy, or espionage through electronic or other means.”
Tips for safeguarding trade secrets :
(i) Put a sign or any mark on various computer files and documents related to trade secrets which you are intended to keep confidential.
(ii) Allow the accessibility of trade secrets only to those people who have authentic reason to know the information. The reason should be material and benefits you in business.
(iii) Make it obligatory for everyone using trade secret to sign a non disclosure agreement. It should describe every minute detail about trade secret applicability like how the person will use trade secret, what will happen if he will pass over this agreement etc.
(iv) All employees should consider trade secrets as confidential data or information even if he is unaware about the trade secret.
Always keep your trade secret in a private and restricted zone.