Trade Secrets Protection: Why India Needs a Separate Framework in 2026
As of early 2026, India still does not have a codified “Trade Secrets Act.” Protection is primarily enforced through the Indian Contract Act, 1872 (via NDAs) and common law principles of “breach of confidence.” However, 2026 has seen a major push from the Law Commission to introduce a dedicated Trade Secrets Bill to align with the TRIPS Agreement. Until then, businesses must rely on rigorous internal data-security protocols to prove in court that “reasonable steps” were taken to maintain secrecy.
The “Common Law” Shield at DURRO IP
In our litigation practice at DURRO IP, we emphasize that a trade secret is only as strong as its secrecy. Per recent 2025-2026 rulings by the Delhi High Court (e.g., Arjan Dugal v. Shubham Gandhi), courts are increasingly granting ex-parte ad-interim injunctions to protect client databases and manufacturing "know-how" if:
- The information is not in the public domain.
- The owner can prove the commercial value of that secrecy.
- There is clear evidence of misappropriation by a former employee or competitor.
Proactive Protection in 2026
- Sealed Covers:
We now frequently use “Confidentiality Clubs” in court to protect sensitive data during trial.
- The NDA is Not Enough:
We advise clients to implement “In-Camera” data handling—limiting digital access to a “need- to-know” basis.