Trade Secrets in Italy: A Practical Guide to Confidential Information Protection

Trade secrets — confidential business information that gives a company competitive advantage — are protected in Italy through a robust framework combining EU harmonisation, national legislation, and judicial enforcement. The Italian framework was modernised by Legislative Decree no. 63 of 11 May 2018, which transposed the EU Trade Secrets Directive 2016/943, harmonising Italian law with the broader European standard.

This guide outlines the current Italian framework, protection requirements, and enforcement options. For the broader copyright and IP framework, see our master pillar guide to copyright law in Italy and Europe.

The Italian framework

Trade secret protection in Italy operates through:

• Articles 98-99 of the Italian Industrial Property Code (D.Lgs. 30/2005), as amended by D.Lgs. 63/2018, which provide the substantive rules on what qualifies as a trade secret and how it is protected;
• D.Lgs. 11 May 2018 no. 63, transposing the EU Trade Secrets Directive (Directive 2016/943);
• Italian Civil Code Article 2598, on unfair competition, which complements trade secret protection;
• Italian Civil Code Articles 2105 (employee fidelity) and 2125 (non-competition clauses), governing employee obligations;
• Criminal Code provisions on disclosure of professional secrets and industrial espionage.

The 2018 reform strengthened protection by introducing harmonised definitions, expanded enforcement remedies, and specific procedural protections for confidential information during litigation.

What qualifies as a trade secret

Under Article 98 of the Industrial Property Code, business information is protected as a trade secret when it meets three cumulative requirements:

1. Secrecy: the information is not generally known or readily accessible to persons within the industry circles that normally deal with this type of information;
2. Commercial value: the information has commercial value precisely because it is secret;
3. Reasonable measures to maintain secrecy: the legitimate holder has taken reasonable steps under the circumstances to keep the information secret.

Examples of information that can qualify as trade secrets include:

• Manufacturing processes and technical know-how;
• Recipes, formulas, and product compositions;
• Customer lists and supplier relationships with specific contractual details;
• Software algorithms, source code, and architecture (where not protected by copyright registration);
• Marketing strategies, business plans, and financial models;
• Research and development information;
• Negotiation strategies and pricing models.

Crucially, the third requirement — reasonable measures to maintain secrecy — is often where claims fail. Information that is genuinely valuable but not actively protected loses trade secret status.

Protection measures: practical steps

Italian courts assess “reasonable measures” based on the specific circumstances. Effective protection typically includes:

• NDAs (Non-Disclosure Agreements): signed with employees, contractors, suppliers, partners, and potential investors who access the information;
• Employee confidentiality obligations: explicit contractual clauses, internal policies, periodic training;
• Access controls: technical measures (password protection, encryption, role-based access), physical measures (restricted areas, document marking);
• Information classification: clear labelling of confidential information (“Confidential”, “Trade Secret”, “Riservato”);
• Need-to-know basis: limiting access to personnel who genuinely require the information;
• Exit procedures: clear handover and return of confidential materials when employees leave;
• Non-competition agreements: where appropriate under Italian Article 2125 Civil Code requirements (written form, geographic and temporal limits, compensation).

For Italian audiovisual productions, trade secret protection often applies to unreleased scripts, production budgets, financing structures, and casting plans — areas where premature disclosure can cause substantial harm.

Enforcement and remedies

Trade secret violations are enforced through:

• Urgent injunctive relief: under Article 700 Italian Code of Civil Procedure, urgent measures to stop ongoing or threatened violations;
• Specialised IP chambers: in major Italian courts (Milan, Rome, Naples, Turin, Venice, Bologna, Genoa), handling trade secret litigation with specialised expertise;
• Damages: compensation for actual harm including lost profits, unjust enrichment of the infringer, and moral damages;
• Seizure and destruction of infringing materials: court orders to remove infringing copies from circulation;
• Confidentiality protection during litigation: D.Lgs. 63/2018 introduced specific procedural measures to protect trade secrets during litigation itself (restricted access to evidence, confidential session orders, redacted decisions);
• Criminal sanctions: in cases of intentional disclosure or industrial espionage.

Cross-border enforcement uses Brussels I bis (EU Regulation 1215/2012) within the EU, with national procedures for non-EU enforcement.

Trade secrets vs patents and copyright

Trade secrets coexist with other IP protections:

• vs. Patents: patents require disclosure of the invention in exchange for time-limited exclusive rights (typically 20 years); trade secrets remain confidential indefinitely as long as secrecy is maintained;
• vs. Copyright: copyright protects original creative expression automatically; trade secrets protect non-public business information regardless of creative character;
• Strategic choice: for some innovations, the choice between patent (disclosure + time-limited protection) and trade secret (no disclosure + indefinite protection contingent on secrecy) is a fundamental strategic decision.

For comprehensive analysis of what is not protected by copyright and alternative IP frameworks, see our protecting ideas guide.

How DANDI supports clients

DANDI.media supports businesses, creators, and IP holders on trade secret matters:

• NDA drafting and review: standardised and customised non-disclosure agreements for employees, contractors, partners, investors;
• Information security policies: development of internal policies and procedures to satisfy “reasonable measures” requirement;
• Employee agreements: drafting of employment contracts with appropriate confidentiality and non-competition clauses;
• Litigation: representation in trade secret disputes in Italian specialised IP chambers, with attention to procedural confidentiality protections;
• Cross-border enforcement: coordination of enforcement across EU and international jurisdictions;
• Audiovisual industry-specific advisory: trade secret protection for unreleased scripts, production information, financing structures.

For consultation, book directly with Avv. Claudia Roggero or Avv. Donato Di Pelino.

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