What is the scope of trade secret protection in the United Kingdom?
The scope of trade secret protection in the United Kingdom is governed by the UK’s law of confidential information, which is set out in the UK Supreme Court case of Coco v Clark. This case established that a trade secret can be protected through the law of confidence if three conditions are met. Firstly, the information must have the “necessary quality of confidence”, meaning that it must not be generally known and must have been obtained by one party from another in circumstances that indicate the information is meant to be kept confidential. Secondly, the information must have been “imparted in circumstances importing an obligation of confidence”, meaning that the parties must have intended the information to remain secret. Finally, the information must have a “real or potential value”, which is judged by looking at the information’s commercial or industrial value. The scope of protection provided in the UK is significantly broader than the scope of protection provided in the US under California trade secret law. In the UK, trade secrets are broadly defined and the law recognises trade secrets can come in the form of confidential information, such as client lists, formulas, recipes, methods, processes, programs, and more. Moreover, the UK offers equitable remedies, such as injunctions, to protect a trade secret’s confidentiality and also refuses to recognise any rights of laches or estoppels, so an aggrieved party can pursue claims for damages for as long as is necessary.
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