Take-Away Messages and Trade Secrets Checklist

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Take-Away Messages

；Prevention is the key to protection. More oen than not, once a trade secret is disclosed, the damage is already done

and it is oen very dicult to recover its value, even if you succeed in litigation.

；Establish an internal management system for trade secrets. Training and clear written guidelines are essential. As

your employees in China may not have the same understanding of proprietary information and intellectual property

rights as you might have, it is important to educate them on what can or cannot be disclosed. Adopt appropriate

measures to mark and store condential documents whether such documents are in electronic or paper format.

；Require all employees to sign an employment agreement with strict condentiality provisions. To win a the of trade

secrets claim in China, you must show that the information stolen is (1) not publicly known, (2) has commercial

value, and (3) that you took measures to keep it secret. When a current or former employee steals your trade secrets,

having an employment agreement with condentiality provisions is essential to show that you took measures to

keep it secret.

；Design your trade secret protection strategy from a practical perspective so, in the worst case scenario, you´ll be

able to prove in court the leak of information. The use of notaries or blockchain technologies can provide you the

proof that the trade secret was known by you at a certain time. Recording the content of the trade secret will help

you to prove the reasonable indicators that the trade secret was stolen.

6. Take-Away Messages and Trade Secrets Checklist

Trade Secret check list

；Identify and catalogue your trade secrets

；Use a combination of physical, technical and contractual barriers

；Document trade secret protection measures you take, in case of a dispute later on

；Implement a trade secret protection policy within your company, making sure your employees understand your expectations

；Consider non-disclosure agreements before entering negotiations with third parties

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