Experience of foreign countries in preserving commercial secrets as a condition of an employment contract

One of the types of information with limited access, the least regulated at the legislative level, is a commercial secret, which has a value determined by its owner, a separate access regime, and is subject to measures to preserve its secrecy by the person who owns it, and the improper use of which can cause negative consequences for the business and economic activities of the enterprise. For the successful functioning of the legal mechanism of commercial secrets in Ukraine, its legislative improvement based on positive foreign experience is necessary. Therefore, the purpose of the article is to study the experience of foreign countries in preserving commercial secrets as a condition of an employment contract. A comparative analysis of the experience of foreign countries regarding the international legal regulation of commercial secrets indicates the need for the earliest possible adaptation of Ukrainian legislation to European and international standards. This will not only increase the effectiveness of trade secret regulation in labor law, but will also contribute to attracting investments from international institutions. Thus, based on the positive experience of the USA and Great Britain, we consider it appropriate to provide in the new Labor Code of Ukraine a section «Employee’s Rights and Obligations Regarding the Preservation of Trade Secrets», where they would be provided with an exhaustive list, including the employee’s obligations to comply with the employer’s established regime for the use, circulation and protection of commercial information, not to disclose information that has lawfully become known to him in connection with the performance of his employment function, as well as after the termination of employment relations, etc.; based on the positive experience of the Kyrgyz Republic – the adoption of a special Law of Ukraine «On Trade Secrets», which will determine a single understanding of this concept, regulate public relations related to the classification of information as a trade secret, etc.; from the positive experience of the European Union countries – France and Germany, where the enhanced legal liability of an employee for illegal actions with a trade secret is clearly expressed - to strengthen liability for committing offenses in the field of trade secrets, which in turn will become the most effective means of ensuring the rights and interests of the owner of a trade secret and will contribute to the competitiveness of the national economy.

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Publication Details

Journal
Uzhhorod National University Herald Series Law
Published
2025-05-20
DOI
https://doi.org/10.24144/2307-3322.2025.88.2.17
Primary Topic
Digital Transformation in Law
Type
article
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article

Experience of foreign countries in preserving commercial secrets as a condition of an employment contract

S. P. Zhyhylii
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Uzhhorod National University Herald Series Law
Digital Transformation in Law
article

Experience of foreign countries in preserving commercial secrets as a condition of an employment contract

S. P. Zhyhylii
article en

Abstract

One of the types of information with limited access, the least regulated at the legislative level, is a commercial secret, which has a value determined by its owner, a separate access regime, and is subject to measures to preserve its secrecy by the person who owns it, and the improper use of which can cause negative consequences for the business and economic activities of the enterprise. For the successful functioning of the legal mechanism of commercial secrets in Ukraine, its legislative improvement based on positive foreign experience is necessary. Therefore, the purpose of the article is to study the experience of foreign countries in preserving commercial secrets as a condition of an employment contract. A comparative analysis of the experience of foreign countries regarding the international legal regulation of commercial secrets indicates the need for the earliest possible adaptation of Ukrainian legislation to European and international standards. This will not only increase the effectiveness of trade secret regulation in labor law, but will also contribute to attracting investments from international institutions. Thus, based on the positive experience of the USA and Great Britain, we consider it appropriate to provide in the new Labor Code of Ukraine a section «Employee’s Rights and Obligations Regarding the Preservation of Trade Secrets», where they would be provided with an exhaustive list, including the employee’s obligations to comply with the employer’s established regime for the use, circulation and protection of commercial information, not to disclose information that has lawfully become known to him in connection with the performance of his employment function, as well as after the termination of employment relations, etc.; based on the positive experience of the Kyrgyz Republic – the adoption of a special Law of Ukraine «On Trade Secrets», which will determine a single understanding of this concept, regulate public relations related to the classification of information as a trade secret, etc.; from the positive experience of the European Union countries – France and Germany, where the enhanced legal liability of an employee for illegal actions with a trade secret is clearly expressed - to strengthen liability for committing offenses in the field of trade secrets, which in turn will become the most effective means of ensuring the rights and interests of the owner of a trade secret and will contribute to the competitiveness of the national economy.

Uzhhorod National University Herald Series LawVol. 2(88)
Openalex Percentile: Top 83%
Digital Transformation in Law
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