New Regulatory Framework For Trade Secrets & Economic Espionage In Offing

New Delhi, Mar 11 (KNN) The Law Commission of India, in its 289th Report, has advocated for the enactment of dedicated legislation aimed at safeguarding Trade Secrets. The proposed legislation includes provisions for whistleblower protection, compulsory licensing, government use, and considerations for the public interest.

Additionally, the commission has suggested the implementation of separate legislation to address concerns surrounding Economic Espionage within the same report.

Marking a step towards bolstering India's legal apparatus in combating intellectual property theft and promoting innovation, the Law Commission highlighted the evolving economic landscape and the imperative to regulate the cross-border transfer of technology and foster collaboration among industries.

It emphasised the importance of clarity and precision in navigating the legal terrain, particularly in light of emerging technologies such as artificial intelligence and data-driven industries.

Of notable concern are Micro, Small, and Medium Enterprises (MSMEs) and startups, which constitute significant components of the Indian industrial landscape. The proposed legislation aims to provide vital protection for the intellectual capital of these entities, crucial for fostering innovation and competitiveness.

Key suggestions outlined by the Law Commission include a broad definition of trade secrets, balanced protection measures to prevent misuse, and provisions for whistleblower immunity.

Additionally, the report advocated for the establishment of confidentiality clubs and emphasised the treatment of regulatory data as confidential information.

Importantly, the report addressed the gap in whistleblower protection laws in India, proposing robust safeguards to encourage reporting on misconduct and illegal activities within industries. It recommended granting immunity to whistleblowers and emphasised the importance of acting in good faith and the public interest.

The report, along with a Draft Bill, is the culmination of the collective efforts of a distinguished seven-member panel, chaired by former Chief Justice Ritu Raj Awasthi. The panel comprises legal luminaries and experts in various fields, whose insights and expertise have shaped the comprehensive recommendations put forth in the report.

(KNN Bureau)