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Confidential Information and Know-How
Know-how is a term for describing confidential information which may be technical or commercial and is formally defined in the European Union Technology Transfer Block Exemption (Regulation 772/2004). This right arises automatically and does not need to be registered.Within confidential information disclosure agreements it is normal to limit the period in which information is to be regarded as confidential. Confidence is lost when the information reaches the public domain.
Know-how is not considered ‘property’ under English law and therefore cannot be assigned formally from one party to another. An agreement transferring or licensing know how may be as effective as an assignment.
Commercially sensitive information can also be protected by the law of confidential information. To be protected the information must be confidential in nature and must be disclosed in circumstances of confidence.
There is an obligation to keep the disclosed information confidential and this may be set out in a contract (e.g. a confidentiality agreement). The obligation may also be implied because of the relationship between the parties, or because of the circumstances in which the disclosure was made.
We have handled a number of leading cases in this complex area.
For expert advice regarding confidential information and know-how contact:
Ian Morris, Partner
T: 0161 832 3434
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