The government has approved a draft bill transposing an EU directive that will extend the protection of trade secrets. Under the proposed legislation, it would be possible to seek protection for trade secrets even in situations outside the course of business, going beyond the protection currently available under unfair competition law. Examples include a business partner breaching a confidentiality obligation or a departing employee copying a customer database.

The draft distinguishes between three forms of trade secret infringement:

❗ unlawful acquisition;

❗ unlawful disclosure; and

❗ unlawful use.

While unlawful disclosure and use are already covered by the current legislation, unlawful acquisition will be expressly regulated as a separate form of infringement. The protection will also extend to cases where a third party unlawfully uses a trade secret despite knowing, or having reasonable grounds to know, that it was obtained from someone who had themselves unlawfully disclosed or used it.

The proposed legislation will also establish rules governing the protection of trade secrets during court proceedings. For example, court files could be divided into public and confidential sections, and parties to proceedings would be required to maintain confidentiality even after the proceedings have concluded.

For businesses, the proposed amendment would therefore provide broader and more effective protection for trade secrets. It also presents a good opportunity to review which information within the company qualifies as a trade secret, who has access to it, and whether it is adequately protected.

The draft bill, which is proposed to take effect on 1 January 2027, is currently being considered by the Chamber of Deputies.

Author: Zita Ležatková