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Image header Agence Europe
Europe Daily Bulletin No. 11336
SECTORAL POLICIES / (ae) enterprise

MEPs oppose industrial espionage

Brussels, 16/06/2015 (Agence Europe) - On Tuesday 16 June, the European Parliament Legal Affairs Committee (JURI) adopted the draft report of Constance Le Grip (EPP, France), which provides a framework for the protection of industrial secrecy. This is a particularly sensitive subject and the report is seeking to provide a legal framework for “Fighting against economic and industrial espionage, and giving companies the means to protect their know-how and professional information”, explained the MEP.

The report was approved by a large majority (19 for, 2 votes against and 3 abstentions) and seeks to create a European framework on the protection of “trade secrets” (also known as “non-disclosed intelligence” or “confidential commercial information”) namely, “information that is kept confidential in order to maintain a competitive advantage”, particularly in the area of innovation. The objective is to ensure better legal security in the cooperation and sharing of know-how between companies at a European level, particularly for small and medium-sized enterprises (SMEs) and start-ups, “which often don't have the specialised human resources or sufficient finance to register their intellectual property rights, manage them and ensure their respect and protection”.

Many NGOs and journalist organisations in Europe have expressed their concerns about the risks created by the uncertainty regarding “trade secrets”, which could jeopardise the freedom of expression and information.

The draft directive effectively allows a company that believes it has been wronged to pursue “any individual or entity that has obtained, used or disclosed a trade secret illicitly” (see EUROPE 11290). The text, however, lists three exceptions to this principle: when there is legitimate use of the information as part of the freedom of expression and information as understood by the Charter of Fundamental Rights; when it involves the disclosure of fraudulent or illegal behaviour that can harm the public interest (consumer protection and/or of the environment, public health etc.); when it involves protecting the general interest by the legal proceedings.

The rapporteur said “the guarantees brought by the European Parliament to the work of journalists and the protection of their sources are real and devoid of ambiguity”. She was convinced that this was “a balanced text that preserved the interests of enterprise, whilst protecting journalists and whistle blowers”.

Sergio Cofferati (S&D, Italy) said that “the text we have voted for has been improved substantially… Particularly… on the protection of the freedom of expression and information, as well as the exemption for all whistle blowers when the public interest is involved”. This opinion was not shared by Julia Reda (Greens/, EFA Germany), who was, in fact, originally behind the controversial report on copyright (see other article). She criticised the fact that “this project… enables companies to conceal any information that could be embarrassing to them. Fundamentally, the very vague definition on 'trade secrets”, provides companies with room for manoeuvre whereby the legislative provisions could be misused”.

On the same day, Constance Le Grip obtained a mandate by 18 votes in favour, 2 against, with 3 abstentions, to negotiate with the Council in a first reading. (Pascal Hansens)

Contents

SECTORAL POLICIES
ECONOMY - FINANCE - BUSINESS
COURT OF JUSTICE OF THE EU
INSTITUTIONAL
EXTERNAL ACTION
NEWS BRIEFS