Corporate Espionage | Industrial Espionage

Industrial espionage is espionage between companies within the same national market in order to gain or compensate for competitive advantages. The information that may be of interest to your competitors and can lead to industrial espionage includes, among other things, financial statements, investment plans, customer lists, supplier lists, technical know-how, and pricing calculations.

If you have the suspicion or certainty that information is leaking from your company, the detectives of the Aaden Corporate Detective Agency Cologne will assist you in identifying the perpetrator and securing court-admissible evidence: +49 221 9859 2399.

Every Fourth Offense Committed by Own Employees

According to the study "Industrial Espionage" by Corporate Trust, a consulting firm for security services, in nearly 25 percent of all espionage cases in Germany where a perpetrator could be identified, an employee of the affected company was responsible. The deliberate placement of employees by competing companies is also subject to criminal prosecution. In the event of detection by the detectives of the Aaden Corporate Detective Agency Cologne, you can not only stop your competitor’s unfair practices but also pursue criminal charges and claim damages (including for the necessity of the detective operation and the resulting costs). In view of a possible reduction in sentence, the exposed employee will generally be willing to testify against your competitor.

An interesting article by Gabriele Lüke on the subject of industrial espionage can be found at the Chamber of Industry and Commerce Munich.

Confidentiality Is an Automatic Ancillary Duty of Employees

Just as with the prohibition of competitive activity during an existing employment relationship (non-compete clause), confidentiality is an ancillary duty arising from the employment contract. This duty does not need to be explicitly stated in the contract but is generally assumed. An employee who violates this duty of confidentiality by disclosing secrets is liable to prosecution under Section 17 (1) of the German Act Against Unfair Competition (UWG):

"Anyone employed by a company who, during the term of the employment relationship, discloses a business or trade secret entrusted to them or otherwise made accessible to them, without authorization to another person for purposes of competition, for personal gain, for the benefit of a third party, or with the intent to harm the company, shall be punished with imprisonment of up to three years or a monetary fine."

Further Legal Context

From a criminal law perspective, the following additional offenses are distinguished in connection with corporate espionage:

• Unauthorized acquisition of secrets: Any person who unlawfully obtains or secures such a secret through the use of technical means, the creation of a physical reproduction, or the removal of an item is subject to punishment (Section 17 (2) No. 1 UWG).
• Exploitation or unauthorized disclosure: Anyone who unlawfully uses or discloses a secret obtained through the breach of confidentiality by an employee or through their own unlawful or unethical actions may be punished (Section 17 (2) No. 2 UWG).
• Breach of private secrets: Among others, anyone who unlawfully discloses a business or trade secret entrusted to them as a public official, a person specially obligated to public service, or a publicly appointed expert may be punished (Section 203 German Criminal Code).
• Violation of special confidentiality obligations: Under Section 353b of the German Criminal Code, among others, anyone who unlawfully discloses an object or information they are obliged to keep confidential as a public official or formally obligated person, thereby endangering important public interests, may be punished. This provision protects confidential matters below the level of state secrets (for example in competition between companies in relation to tax authorities). Prosecution requires authorization (in particular by a supreme federal or state authority).
• Data espionage (computer espionage): Under Section 202a of the German Criminal Code, anyone who unlawfully obtains data for themselves or another party that is electronically, magnetically, or otherwise not directly perceptible and is specially secured against unauthorized access may be punished. The methods used by domestic and foreign companies for corporate espionage largely correspond to those of government intelligence services.

(Source: Wirtschaftslexikon24)