How are trade secrets protected in Canada?
Canada has no standalone trade secret statute at the federal level. Protection comes from the equitable action for breach of confidence, contract (NDAs and confidentiality clauses), and, for criminal theft, the Criminal Code. The Supreme Court's Lac Minerals framework governs breach of confidence claims.
How are breach of confidence damages measured in Canada?
Courts have flexible remedies: the plaintiff's actual loss, an account of the defendant's profits, or a reasonable royalty measured as the price the defendant would have paid for lawful use of the information. The court selects the measure that best undoes the wrong, and may also grant an injunction.
What must I prove for breach of confidence in Canada?
Under Lac Minerals v. International Corona, three elements: (1) the information had the necessary quality of confidence, (2) it was communicated in circumstances importing an obligation of confidence, and (3) it was misused to the plaintiff's detriment. Reasonable steps to keep the information secret strengthen the claim.
Can I get a springboard injunction in Canada?
Yes. Where a defendant used confidential information to gain a head start, a court may grant a 'springboard' injunction preventing them from benefitting from that unfair advantage for a limited period, even after the information becomes public. This is in addition to monetary damages.