Trade Secrets Law in Germany

Here’s a detailed overview of Trade Secrets Law in Germany:

Trade Secrets Law in Germany

1. Legal Framework

Germany’s trade secrets protection is primarily governed by the Trade Secrets Act (Geschäftsgeheimnisgesetz – GeschGehG), which came into effect on 26 April 2019.

This Act implements the EU Trade Secrets Directive (2016/943) into German national law.

Additional relevant laws include:

Civil Code (Bürgerliches Gesetzbuch – BGB),

Criminal Code (Strafgesetzbuch – StGB),

Labour law provisions.

2. Definition of Trade Secrets

Under the German Trade Secrets Act:

A trade secret is any information that:

Is not generally known or easily accessible,

Has commercial value because it is secret,

Is subject to reasonable steps by its lawful holder to keep it secret.

This covers a wide range of information including formulas, methods, processes, designs, business plans, customer data, and software source code.

3. Protection Mechanisms

The law protects trade secrets against:

Unauthorised acquisition (theft, bribery, espionage),

Unauthorised use,

Unauthorised disclosure.

Reasonable steps to maintain secrecy may include:

Confidentiality agreements,

Access restrictions,

Security measures,

Employee training.

Employers must ensure confidentiality agreements with employees, contractors, and business partners.

4. Enforcement and Remedies

Rights holders can seek civil remedies, including:

Injunctions to prevent or stop unlawful use or disclosure,

Claims for damages,

Destruction or recall of infringing goods or materials,

Publication of court decisions to prevent further misuse.

The law also provides criminal penalties for serious violations under the Criminal Code, such as industrial espionage and breach of confidentiality.

Courts may impose measures to protect confidentiality during proceedings.

5. Duration of Protection

Trade secret protection lasts as long as the information remains secret and commercially valuable.

Once the information becomes public, it loses protection.

6. International Context

Germany, as an EU member state, aligns its laws with the EU Trade Secrets Directive.

It is a member of WIPO, and party to the TRIPS Agreement under the WTO.

German law is harmonized with international IP standards.

Summary

AspectDetails
Governing LawTrade Secrets Act (2019), Civil Code, Criminal Code
DefinitionSecret, commercially valuable information
Protection AgainstUnauthorized acquisition, use, disclosure
Protection MeasuresNDAs, security protocols, confidentiality agreements
RemediesInjunctions, damages, criminal penalties
DurationAs long as secrecy and commercial value persist
International AlignmentEU Directive 2016/943, TRIPS, WIPO

 

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