SME Case Study

Take-away messages
Be aware of the qualication as network operator or CII operator under the CSL and the corresponding obligations.
If you operate a website in China, you are likely to be considered a network operator and have the obligation to
follow the CSL rules.
Ensure regular data protection compliance audit of the company. As legislation on cybersecurity issues is constantly
developing, it is important to follow legal developments and to keep yourself up-do-date with the recent changes.
Be prepared in case of data security incidents. It is recommended to have a comprehensive incident response plan
and a communication plan.
Report and communicate timely any data security incidents (internally and externally). Remember, you have the
obligation to notify the authorities of data security incidents, especially when handling personal and important data.
Keep proper documentation on all the eorts on monitoring, auditing and responses. You might be asked to
provide evidence.
To avoid the loss or leakage of sensitive data, it is recommended to encrypt data when transferred between your
oce in China and your headquarters in the EU.
If you are planning to set up an R&D collaboration or conduct R&D activities in China and it is likely that you will
operate with sensitive data (personal data and important data), it is very important to address compliance issues
with Chinese regulations including the CSL beforehand.
Use the assistance of a local lawyer/legal professional to guarantee compliance with the CSL measures as well as
other regulations. Consult a local lawyer/legal professional before setting up an R&D collaboration in China.
Be sure to comply with all the CSL regulations when protecting trade secrets since they are the bare minimum level
of protection required by the Courts.
7. Take-away messages
Compliance with Cyber Security Law and
its impact on IP protection

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