by Maggie Kong, Shane Lou, Susan Shan, Kent Xu, Grace Yang,
Anderson Zhang and John Zhou
In the recent years, the increasing cases of trade secret
infringement due to talent flow cover a large proportion of trade
secret cases heard by the people's courts, which prominently
focus on (1) serving staff violating duty of loyalty and infringing
company's trade secret by means of part-time job; and (2)
ex-serving staff of key positions provide service to competitors or
participating in their own business that competes with the
ex-employer. This newsflash is aimed to discuss the issue of trade
secret protection in talent flow.
1. The Consideration and Term of Confidentiality
Duty
Confidentiality duty, which is derived from the duty of loyalty,
is the main obligation to employees in employment relation.
Employers, strictly, are not supposed to compensate employees for
their assuming the duty; however, provided confidentiality fee has
been stipulated between the employer