Duty of Confidence – Can you keep a Secret
Useful for: Business, Government, Local Government, Not for Profit
In Brief
- A duty of confidence may arise under the general law or because of a contractual arrangement put in place between the owner of confidential information and the recipient of that information.
- The duty of confidence (including the obligation not to disclose it to third parties) will be breached if there is an actual or threatened disclosure or other misuse of the information.
- Potential remedies for breach of the duty of confidence include:
- Damages for breach of contract where there is a formal Agreement in place, or in equity where there is no contract in place (restitution)
- Injunction to prevent a breach or continuing breach
- Accounting of profits to prevent misuse by the recipient of information profiting from a breach.
- If there is an actual or threatened breach of confidentiality it is imperative to obtain legal advice as early as possible – certain remedies may be lost if the information loses its confidential status.
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