Civil law. A special part. Right to a trade secret (Know-how) (most important)

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Civil law. A special part. Right to a trade secret (Know-how) (most important)

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Topic 29. RIGHT TO PRODUCTION SECRET (KNOW-HOW)

In ch. 75 of the Civil Code regulates relations related to the secret of production (know-how; from the English know how - know how).

In accordance with Art. 1465 of the Civil Code, a secret of production (know-how) is information of any nature (production, technical, economic, organizational and others), including the results of intellectual activity in the scientific and technical field, as well as information about the methods of carrying out professional activities that have a valid or potential commercial value due to their being unknown to third parties, to which third parties do not have free access on a legal basis and in respect of which the owner of such information has introduced a trade secret regime.

The owner of a production secret has the exclusive right to use it in accordance with Art. 1229 of the Civil Code in any way that does not contradict the law (exclusive right to a secret of production), including in the manufacture of products and the implementation of economic and organizational decisions. The owner of a production secret may dispose of the specified exclusive right.

A person who, in good faith and independently of other owners of a production secret, becomes the owner of information constituting the content of a protected production secret acquires an independent exclusive right to this production secret (clause 2 of article 1466 of the Civil Code).

As provided in Art. 1467 of the Civil Code, the exclusive right to a production secret is valid as long as the confidentiality of the information constituting its content is maintained. From the moment of loss of confidentiality of the relevant information, the exclusive right to a production secret is terminated by all right holders.

The Civil Code provides for the possibility of concluding an agreement on the alienation of the exclusive right to a production secret (Article 1468) and a license agreement on granting the right to use a production secret (Article 1469).

In Art. 1470 and 1471 of the Civil Code, respectively, refer to an official production secret and a production secret obtained during the performance of work under the contract.

In accordance with paragraph 1 of Art. 1472 of the Civil Code violator of the exclusive right to a production secret, including a person who illegally obtained information constituting a production secret and disclosed or used this information, as well as a person obliged to maintain the confidentiality of a production secret in accordance with paragraph 2 of Art. 1468, paragraph 3 of Art. 1469 or paragraph 2 of Art. 1470 of the Civil Code, is obliged to compensate for losses caused by violation of the exclusive right to a production secret, unless other liability is provided for by law or an agreement with this person. At the same time, a person who used a production secret and did not know and should not have known that its use is illegal, including due to the fact that he gained access to a production secret by accident or by mistake, is not liable, the above (clause 2 of article 1472 of the Civil Code).

Author: Ivakin V.N.

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