22 Confidential Information Trade Secrets and Confidentiality Agreement A confidentiality agreement is often used to prevent employees from disclosing your secret knowledge or owners during and after their employment or connection with your company. 1 Secrets and confidential information What are trade secrets? A trade secret is both a kind of intellectual property (« IP ») and an intellectual property protection strategy. Can be formulas, models, methods, programs, techniques, processes or compilations of information that give your own company a competitive advantage. P 14 Disclosure of business information to employees on the « Need to know » basis. Keep confidential documents secret. Passwords are required to access computer files. restricting access to certain production sectors. Visitors to the property must register on arrival and unsubscribe at the time of departure. 15 Confidential Information Trade Secrets and Confidential Information What happens if someone violates my trade secret? In Malaysia, the protection of trade secrets and confidential information is currently based on the common law, which is independent of the law. Registration is not required under the common law of confidentiality. 28 Confidential Information Business Secrets and Confidential Information The contract limiting trade under Malaysian contract law may require, on the one hand, to balance trade secrets and confidential information and, on the other hand, the possibility of restricting trade if such a confidentiality or confidentiality provision is imposed. 12 the amount or effort that the holder of the secrecy of the business devotes to the development of secrecy; and the effort that others require to acquire or duplicate information (through reverse engineering).
29 Section 28 of the Contracts Act 1950 provides that any agreement by which a person is deterred from the exercise of a lawful profession, commercial activity or legal activity of any kind is, in this respect, nullified, unless the restriction is covered by one of the three exceptions. Polygram Records Sdn Bhd/The Search Court ruled: Section 28 of the Contracts Act only applied on restraints in the post-contract period d.d.e.e.that restrictive provisions that are applicable during the currency of the contract would be not a covenant in restraint of trade and would be valid. All restrictive provisions that will be applied under an accession treaty could be interpreted as a trade restriction agreement and, therefore, interpreted null and fore its way. 25 Most agreements have a definition of information that should be considered confidential – make sure it is appropriate. As a general rule, these agreements stipulate that certain information should not be considered confidential. Most agreements provide, for example, that all information that the receiving party is able to prove was known before the arrival by the public party is not considered confidential.