Are trade secrets free?
Yes, trade secret are free and it is the only form of intellectual property protection that costs nothing to obtain. Protection begins the instantly provided the information is treated as confidential and protection continues for as long as that confidentiality holds. That simplicity is also where the risk sits.
Trade secrets take effort to main
Maintaining a trade secret however, takes effort, and that effort must be cultural. Your organisation needs an ethos that values secrecy and confidentiality, one that everyone exposed to sensitive information treats it as confidential.
The value of a trade secret is lost upon disclosure
The reason why this ethos is important is because registered rights survive a disclosure, a trade secret does not. If it is mentioned in the wrong meeting, published online by mistake, or shared by someone who did not fully understand its sensitivity, the protection ends immediately and permanently. All the effort invested up to that point is undone in an instant.
A trade secret does not protect against independent creation
A trade secret does not protect against a competitor reaching the same solution independently. If they work it out on their own, without ever touching your confidential information, they are free to use it and there is nothing you can do.
Registered protection works differently. Once you are first to file and the right is granted, it does not matter how a competitor arrived at something similar. You have priority, and you can act on it.
Is a trade secret is the right tool?
A trade secret can be a powerful tool when used appropriately and while they are free, they have a different cost in terms of effort to maintain.
If you would like training support for confidentiality for your organisation, contact the team.
