When faced with that scenario, a business will seek to rely on the employment contract, which will (if well drafted) forbid the use of confidential information and require it to be returned at the end of employment. The common law also provides some protection, allowing for an equitable claim of “breach of confidence” which does not strictly rely on a contractual term.
The case of ‘Weiss Technik UK Ltd and others v Davies and others [2022] EWHC 2773 (Ch)’
The High Court has provided some welcome clarification in this area and confirmed that a claimant business (the victim of a breach of confidence) does not need to demonstrate that it has suffered “positive harm” as a result. Previous authorities suggested that a business would need to prove that confidential information had been taken, had been used in competition, and its use had caused loss and damage. That was often a difficult hurdle to overcome and would mean a business was put to significant expense and risk to establish the facts necessary to prove loss.
However, in Weiss Technik, the Court provided some helpful clarification, deciding that:
“If the defendants have...
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