The Supreme Court made a final judgment in trade secrets and unfair competition practices

The Supreme Court made a final judgment in trade secrets and unfair competition practices

On 22 December 2020, the Supreme Court made a final judgment in a long-lasting legal dispute between a company (the claimant) and its former CEO (the defendant) concerning unlawful use of trade secrets and unfair competition practices (case No e-3K-3-357-611/2020).

The Supreme Court overturned the decision of the Court of Appeal and ruled in favour of the defendant represented by Glimstedt. The judgment has summarized the case law in similar cases during the last ten years and has given guidelines on how to define unlawful use of trade secrets and elements of tort liability for unfair competition practices. The court cases dealing with breaches/misappropriation of trade secrets or confidential information are quite fact-intensive, involve indirect evidence and require careful legal evaluation by the judge. 

In recent years, there has been an increasing number of cases involving unfair competition pending before courts, therefore, this judgment will undoubtedly be of great significance for further development of the case law in this area. 

 

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