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How to protect a trade secret in India

India has no dedicated trade secret law. Protection comes from contracts and the courts, so the steps you take inside your company matter.

By Zernyx Hub editorial 8 min read

1. Decide what is a secret

List the recipes, processes, data, supplier terms and code that give you an edge and that you do not want to patent. Patents are public. Trade secrets last only as long as they stay secret.

2. Limit who can see it

Give access on a need-to-know basis. Use access controls, separate storage and logs. Courts look at whether you actually treated the information as secret.

3. Use NDAs with everyone outside

Sign a non-disclosure agreement before sharing anything with vendors, partners, investors or potential licensees. Define exactly what is confidential and for how long.

4. Add confidentiality to employment contracts

Include confidentiality and IP assignment clauses. Section 27 of the Indian Contract Act generally makes post-employment non-compete clauses unenforceable, but duties of confidentiality continue after an employee leaves.

5. Mark and record

Label confidential documents and keep records of who accessed what and when. This evidence matters if you need to go to court.

6. Manage exits

When people leave, remind them of their obligations in writing, recover devices and documents, and remove access the same day.

7. Act fast on leaks

Indian courts can grant injunctions for breach of confidence and breach of contract. The sooner you act, the better your chances of stopping the use of your information.

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Search patented technologies from Indian universities and labs, check their readiness and license the right one on Zernyx Hub.

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