Trade Secret

The Strategic Importance of Protecting Trade Secrets – Lessons from Lao Gan Ma

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In the global food industry, which is worth trillions of dollars, proprietary recipes are more than just ingredients—they are crucial competitive assets. The longstanding efforts of Coca-Cola to safeguard its formula and the notable 2016 case involving the theft of Lao Gan Ma’s chili sauce recipe, which caused losses exceeding ten million renminbi, clearly demonstrate […]

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Court-Driven Unveiling of Makers in Trademark Infringement Battles

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In trademark infringement cases involving the sale of counterfeit goods, rights holders commonly seek the cessation of production and sales, destruction of infringing inventory and equipment, as well as significant financial compensation. These demands effectively impose manufacturer-level responsibilities on the alleged infringers. Notably, many accused parties claim to act solely as sellers rather than producers,

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Teacher Departure and Movement, Violation of Original Institution’s Trade Secrets?

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The rapidly growing market for educational training institutions in China has intensified competition among these organizations. The movement of teachers between institutions often gives rise to disputes involving labor contracts, intellectual property, and related matters. While the physical facilities are important, the quality of teaching staff—including well-structured course design and effective instructional skills—remains a critical competitive advantage and a valuable resource for these

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Non-Competition Typically Reserved for Employees Holding Keys to Trade Secrets Information 

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Non-Competition Typically Reserved for Employees Holding Keys to Trade Secrets Information – Ruling From Supreme People’s Court Referenced Case Database Summary of the Court Ruling If a non-compete agreement restricts an employee from pursuing a job in which they excel or have expertise during the specified period, and this significantly affects their livelihood and employment opportunities, the application of such restrictions must

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Protecting Trade Secrets in China: Leveraging Non-Compete Agreements Effectively

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To safeguard their competitive edge and prevent employees from switching jobs or disclosing trade secrets, many companies implement non-compete agreements. These agreements require employees to refrain from working for or starting a business with a competing organization for a specified duration, thereby protecting the company’s trade secrets from potential leaks. In the area of legal

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Handbook for Safeguarding Food Recipes as Trade Secrets: Key Threats and Strategies for Protection

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Introduction: The Strategic Imperative of Trade Secret Protection In the global food industry, which is worth trillions of dollars, proprietary recipes are vital competitive assets. Historical examples, such as Coca-Cola’s long-standing protection of its formula and the 2016 incident involving the theft of Lao Gan Ma’s chili sauce recipe—resulting in over ten million renminbi in

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Navigating China’s Trade Secret Protection: Policies, Developments & Strategic Enforcement (2025 Update)

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Introduction China’s competitive landscape increasingly revolves around technological innovation and critical business intelligence. Trade secrets – encompassing undisclosed technical and operational information with commercial value – are vital assets for business survival and growth. Defined under Article 9(4) of China’s Anti-Unfair Competition Law (AUCL), they require three elements: secrecy, commercial value, and confidentiality measures by the rights

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Strategic Use of Non-Compete Agreements to Protect Trade Secrets in China

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Evolution of Legal Frameworks China’s approach to non-compete agreements has shifted significantly since 2008. Initially treated as trade secret infringement cases, these disputes are now classified as labor contract matters under judicial practice. Businesses  must navigate this dual-track system—where trade secret infringements fall under tort law, while non-compete breaches are contractual disputes—to effectively safeguard intellectual

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