Trade Secrets Law in Switzerland

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

Trade Secrets Law in Switzerland

1. Legal Framework

Switzerland does not have a specific statute titled “Trade Secrets Act,” but trade secrets are protected under various laws, primarily:

Swiss Code of Obligations (CO) — particularly provisions related to breach of contract and unfair competition.

Swiss Unfair Competition Act (UCA) — Federal Act Against Unfair Competition.

Criminal Code — protection against industrial espionage and theft of secrets.

General principles of tort law and contract law.

Additionally, Switzerland complies with the TRIPS Agreement as a WTO member.

2. Definition of Trade Secret

Swiss law generally protects:

Confidential business information or know-how,

Which has commercial value,

Is not generally known,

And is subject to reasonable confidentiality measures by its owner.

3. Key Legal Protections

a. Unfair Competition Act (UCA)

Prohibits unauthorized acquisition, use, or disclosure of trade secrets.

Defines trade secrets broadly to include business, technical, or organizational knowledge.

Provides for civil remedies: injunctions, damages, and account of profits.

b. Contract Law (Swiss Code of Obligations)

Protection via confidentiality agreements, NDAs, and employment contracts.

Breach of confidentiality can result in contractual damages.

c. Criminal Law

Industrial espionage and theft of trade secrets are criminal offenses.

Penalties include fines and imprisonment.

4. Enforcement and Remedies

Civil actions: injunctions, monetary damages, destruction of infringing goods.

Criminal prosecution: in cases involving theft or espionage.

Provisional measures: Swiss courts can issue interim injunctions to prevent imminent harm.

Courts require evidence that reasonable efforts were made to keep the information secret.

5. Best Practices for Businesses

Implement confidentiality clauses and NDAs.

Limit access to sensitive information internally.

Mark documents clearly as confidential.

Use secure IT and physical security measures.

Train employees on confidentiality and data protection.

Summary Table

AspectDetails
Dedicated Trade Secret LawNo standalone law; protection via UCA, CO, Criminal Code
DefinitionConfidential info with commercial value, reasonable protection
Prohibited ConductUnauthorized acquisition, use, disclosure
RemediesInjunctions, damages, account of profits, criminal penalties
Governing LawsSwiss Unfair Competition Act, Code of Obligations, Criminal Code

 

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