EU set for harmonised rules on trade secrets

Managing IP is part of Legal Benchmarking Limited, 1-2 Paris Gardens, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2025

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

EU set for harmonised rules on trade secrets

The European Commission has today proposed a directive on trade secrets to replace the patchwork of rules across the EU

The draft directive introduces a common definition of trade secrets, sets out procedures for victims of trade secret misappropriation to seek redress and introduces measures that courts may use to avoid leakage of trade secrets submitted to it in the course of civil litigation on trade secrets theft.

The proposed rules come after officials in Brussels commissioned a study and held a public consultation on the issue. It concluded that businesses find it hard to understand the rules on trade secrets across the EU and are reluctant to sue alleged infringers for fear that the courts will not keep their trade secrets confidential.

The Commission says that one in five European companies has been the victim of trade secret misappropriation, or attempts at misappropriation, at least once in the past 10 years.

Vice-President Antonio Tajani said that protecting trade secrets is particularly important for smaller businesses, which rely more heavily on trade secret protection than larger companies – in part because of the cost of patenting and protection against infringement.

At the moment, 18 EU member states have laws on misappropriation of trade secrets, although some, including Germany and Spain, do not define what trade secrets are. In Belgium, France, Ireland, Luxembourg, Malta, the Netherlands and the UK there are no specific provisions on trade secrets in civil law. Trade secrets are only protected by contract in Cyprus, while in France misappropriation of manufacturing secrets is a criminal offence if committed by employees.

The Commission says that the new proposal will align the rules in the EU with civil law rules in Japan and the US.

The draft directive will now go before the Council of Ministers and the European Parliament for adoption.

more from across site and SHARED ros bottom lb

More from across our site

News of InterDigital suing Amazon in the US and CMS IndusLaw challenging Indian rules on foreign firms were also among the top talking points
IP lawyers at three firms reflect on how courts across Australia have reacted to AI use in litigation, and explain why they support measured use of the technology
AJ Park’s owner, IPH, announced earlier this week that Steve Mitchell will take the reins of the New Zealand-based firm in January
Chris Adamson and Milli Bouri of Adamson & Partners join us to discuss IP market trends and what law firm and in-house clients are looking for
Noemi Parrotta, chair of the European subcommittee within INTA's International Amicus Committee, explains why the General Court’s decision in the Iceland case could make it impossible to protect country names as trademarks
Inès Garlantezec, who became principal of the firm’s Luxembourg office earlier this year, discusses what's been keeping her busy, including settling a long-running case
In the sixth episode of a podcast series celebrating the tenth anniversary of IP Inclusive, we discuss IP Futures, a network for early-career stage IP professionals
Rachel Cohen has reunited with her former colleagues to strengthen Weil’s IP litigation and strategy work
McKool Smith’s Jennifer Truelove explains how a joint effort between her firm and Irell & Manella secured a win for their client against Samsung
Tilleke & Gibbins topped the leaderboard with four awards across the region, while Anand & Anand and Kim & Chang emerged as outstanding domestic firms
Gift this article