Legal framework for the protection of know-how and undisclosed business information constituting trade secrets

Legal framework for the protection of know-how and undisclosed business information constituting trade secrets

Legal framework for the protection of know-how and undisclosed business information constituting trade secrets

Law no. 230/2024 was passed on 17 July 2024, thereby approving Government Emergency Ordinance no. 25 of 18 April 2019 on the protection of know-how and undisclosed business information constituting trade secrets against unlawful acquisition, use and disclosure, as well as on the amendment and supplementation of various normative acts with their amendments and additions, which entered into force on 21 July 2024.

The main new features introduced are as follows:

  • In order to exercise their right of action regarding the protection of trade secrets against unlawful acquisition, use or disclosure, the holder of the trade secrets may apply to the competent court.
  • All trials are to be held in private, in order to ensure the confidentiality of business secrets in court proceedings.
  • With regard to provisional and precautionary measures, upon request by the owner of the trade secret, the court may order, in an emergency procedure, through an enforceable judgment within the proceedings for the application of measures, procedures and remedies in order to prevent or hinder the unlawful acquisition, use or disclosure of trade secrets or in order to obtain redress as a result of such acts, or through a separate application, any of the provisional and precautionary measures, provided by law, against the alleged infringer.
  • Failure to comply with the provisional and precautionary measures will result in the following civil penalties:
  1. for individuals: between 1,000 and 10,000 lei.
  2. for legal entities, between 0.1 and 1% of the turnover generated in the previous year, but not less than 10.000 lei.
  3. for newly established legal entities with no turnover for the previous year: between 10,000 and 50,000 lei.

Source: Law no. 230/2024 on the approval of Government Emergency Ordinance no. 25/2019 on the protection of undisclosed know-how and business information constituting trade secrets against unlawful acquisition, use and disclosure, as well as  amending and supplementing various normative acts

Legal-Newsletter_-July-2024-EN

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