Working Remotely During The COVID-19 Crisis - Is The Risk For Your Trade Secrets Remote?

As the COVID-19 pandemic has rapidly spread across Europe, more and more companies have been forced to implement remote working arrangements for their employees. Logistical difficulties aside, businesses are now facing very real risks associated with information leaks due to human error, use of vulnerable equipment or software, or deliberate external misappropriation of sensitive data (both of the employer and its contractual counterparties). Immediate actions may need to be taken to adapt to this new environment.

In Bulgaria, the Commercial Act imposes a general obligation on authorised officers, sales representatives and proxies to keep confidential the trade secrets of their principals, and the Labour Code provides for a general obligation of loyalty and confidentiality towards the employer. The trade secret protection regime is regulated in more detail by the Trade Secret Protection Act ("TSPA") and the Competition Protection Act ("CPA").