Brunei has no specific legislation governing trade secrets. However, trade secrets may be protected under the common law for breach of confidence.

Membership in International Conventions

– WTO’s TRIPS Agreement, since January 1, 1995.
– Paris Convention for the Protection of Industrial Property, Stockholm Act, since February 17, 2012.

Protection

Definition: there is no legal definition of a trade secret in Brunei. However, reference may be made to the definition of a trade secret in English cases. While not binding, Bruneian courts have frequently referred to English cases for guidance and consider English precedent to be persuasive. In English law, trade secrets generally refer to information that is secret and has commercial value. Reasonable steps must be taken by the owner (such as an enterprise or innovator) to keep such information confidential. Examples of trade secrets include methods or techniques of manufacture, commercial data such as lists of suppliers and clients, recipes, formulas and source codes.

Criteria for enforcement: trade secrets may be protected as confidential information. Where a trade secret is divulged, there may be an action for breach of confidence if it is shown that: (1) there must be a quality of confidence to the information; (2) the information must be provided in circumstances giving rise to an obligation of confidence; and (3) there must be unauthorised use or disclosure of the confidential information which would cause detriment to the owner of the trade secret.

Assignment - licensing: there is currently no regime for the transfer and/or licensing of trade secrets in Brunei. Parties may enter into a contractual license as in the usual manner for assets. Physical and electronic copies of the information should be passed along with the transfer, and licensees should be under strict obligations to keep the information confidential.

Remedies for misappropriation: there is no specific legislation targeting trade secret infringement. However, under the common law, if a breach of confidence is proven, remedies include a claim for damages and/or an injunction. 

Comments: while the regime for protection of confidential information is largely premised on principles from case law, case law has been evolving and adapting to changing business practices and technological advancements to ensure that it continues to be robust in the protection of such information. That said, additional protection for trade secrets may be afforded by way of legislation. Regulations can be introduced to provide clarity on the definition of trade secrets, and better regulate the transferability and licensing of trade secrets. Clearer rules and processes may also give certainty and confidence in instituting legal proceedings. For now, there is no such legislation in Brunei.