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Trade Secret Protection in Judicial Practices

Create Time:2025-04-02

On March 21, QBPC organized a seminar on trade secret protection in judicial practices. Sunny Lin, Patent and Innovation Department Vice Chair, moderated the event, which was attended by over 70 QBPC members.

Focusing on legal practices in trade secret protection, Lawyer Su Zhifu analyzed recent trends in trade secret cases, key points in litigation offense and defense, and directions for corporate compliance system construction. According to Su, although the success rate of trade secret litigation has increased due to the adjustments in relevant legal rules, there remain some challenges, such as the high burden of proof, polarization in compensation rulings, and disputes arising from employee mobility, which accounts for over 80% of all cases. He emphasized that the key issues to be addressed in the litigation included defining the scope of confidential points, the effectiveness of confidentiality measures, and the proof for infringement. The proper application of "access + substantial similarity" rule and proof burden-shifting provisions could lower the threshold for rights enforcement. On compliance, he stressed risk prevention and dynamic management, requiring for a systematic approach through classification, process controls, and personnel background checks to offset the risks of talent mobility on trade secret protection. A majority of cases winning high compensation took place in the technology-intensive fields such as chemicals. However, most cases in these fields still result in poor damages. Therefore, enterprises must tailor strategies to industry characteristics, prioritize daily evidence preservation while refining institutional frameworks to navigate the dual complexities of legal rules and practical operations.

In the Q&A session, Su answered the questions raised by the participants, such as determining derivative use based on others’ trade secrets and maintaining confidentiality in operational management.