Overview of Trade secrets in Poland

In the context of globalization and fierce competition, protecting trade secrets is a difficult but extremely important problem for Polish businesses. Successfully protecting trade secrets not only helps businesses maintain competitive advantages but also contributes to building a healthy business environment.  attract investment and create conditions for start-ups to develop. Viet An Law would like to guide customers on how to protect trade secrets in Poland through the article below.

Overview of trade secrets in Poland

According to the Polish Law Against Unfair Competition, trade secrets are technical, technological, organizational or other information of economic value, which is proprietary and not easily accessible. This means that the information is not common knowledge in the industry, but is the result of the business’s special research, development and protection process.

The main content of the definition includes

• Technical, technological, organizational or other information of economic value:
  • Variety of types: Trade secrets are not only limited to technical or technological information, but can also include information about the organization, management, production process, customer list, business plan, etc.
  • Economic value: It is important that the information provides economic benefits to the business, be it a competitive advantage, increase revenue, reduce costs, or create other added value.
• Exclusive:
  • Not general knowledge: The information is not publicly available, easily found in public documents, or widely shared in the industry.
  • Results of research and development: This information is often the product of the research, investment and efforts of the enterprise.
• Not easily accessible:
  • Strict protection: Businesses must implement security measures to prevent information from being leaked or illegally copied by others.
  • Confidentiality: The information is not public and is only shared with a few authorized people.

Overview of acts of infringement of trade secrets in Poland

Unauthorized access

• Information Harvesting: Using illegal methods to collect confidential information, such as breaking in, stealing data, or phishing to obtain information.
• Resist security measures: Bypass security systems that are set up to protect confidential information.

Unauthorized use

• Use of information for personal or commercial purposes: Use confidential information without the owner’s permission to make a profit or cause damage to others.
• Disclosure of information: Disclosure of confidential information to third parties without the consent of the owner.

Unauthorized copying

• Copying products and services: Copying products and services created based on other people’s trade secrets.
• Copying production processes: Copying other people’s unique production processes or business know-how.

Other acts

• Brokerage, intermediary: Brokerage, intermediary for others to violate trade secrets.
• Unfair competition: Using confidential information to compete unfairly with competitors.

Overview of Trade secrets Archives in Poland

• List of trade secrets:
  • List in detail the information that is considered a trade secret, including: recipes, production processes, customer lists, business plans, etc.
  • A detailed description of the economic value of each type of information.
• Safeguards
  • Confidentiality Agreement: Agreement with employees, suppliers, partners, etc. regarding the confidentiality of information.
  • Access control: Clearly define who is allowed to access information and the level of access for each person.
  • Physical security: Safeguards such as locks, cameras, access control, etc.
  • Digital security: Data encryption, firewalls, strong authentication systems, and more.
  • Training: Information security training program for employees.
• Evidence of the implementation of protective measures:
  • Security logs: Record activities related to information access and editing.
  • Training Records: Demonstrate that employees have received security training.
  • Copies of confidentiality agreements.
  • Security audit report (if any).

Why do you need to keep trade secret records?

Archiving trade secrets is an extremely important tool for businesses, especially in the context of increasingly intense competition. Building, maintaining, and storing a complete and detailed set of records will bring many of the following benefits:

• Proof of confidentiality: Records are the clearest evidence that the business has genuinely treated the information as confidential and has taken the necessary safeguards.
• Strengthen legal protection: When there is a dispute, the dossier will be the basis for businesses to prove the ownership and confidentiality of the information, from which they can sue and claim compensation for damages.
• Provide evidence: The dossier will provide specific evidence that the enterprise has been infringed on intellectual property rights, helping the authorities have grounds to handle the case.

Questions related to trade secret protection

– Can trade secrets be transferred and/or licensed?

Yes, trade secrets can be transferred and licensed.

– Are there any specific consequences arising from the transfer or licensing of a trade secret by a party other than the trade secret owner?

The licensing of trade secrets by an organization other than the owner must be consistent with the scope of authorization granted by the owner. Moreover, if a certain organization is not the owner, it cannot transfer trade secrets that do not belong to it.

– What is the time limit for initiating a lawsuit for complaints related to the illegal appropriation of trade secrets?

The statute of limitations for filing unfair competition claims is typically three years for each separate violation. Regarding claims for damages, the time limit for initiating a lawsuit is three years from the date the injured party knows or, if necessary, may have known about the damage, but in any case not more than ten years from the date of the event causing the damage.