What kind of information may be
"confidential", and in what circumstances will you be in
trouble if you disclose or use "confidential"
information?
Businesses often talk about information being
"confidential", and as lawyers we recommend businesses
protect such information through specific agreements or clauses in
contracts.
But just exactly what kind of information may be
"confidential", when will such information actually be
"confidential", and in what circumstances will you be in
trouble if you disclose or use "confidential"
information?
The best way to answer these questions is to look at the legal
test applied by the courts in New Zealand to establish a breach of
confidence. The test, cited in Coco v A N Clarke (Engineers)
Ltd [1969] RPC 41 (Ch) and adopted in New Zealand by the Court
of Appeal in AB Consolidated Ltd v Europe Strength Food Co Pty
Ltd [1978] 2 NZLR 515, has three elements: