Research Paper
Year: 2018 | Month: May | Volume: 5 | Issue: 5 | Pages:86-94
fLegal Protections of Trade Secret in Franchise Agreements: A Comparative Study with the United States and Australia
Irlany Yunita Siregar
Graduate Student, Faculty of Law, University of Indonesia
ABSTRACT
In the context of the franchise, franchisor automatically has approved the type of business undertaken by the franchisee, including trade secret is permitted to be replicated by paying royalties through agreement mechanism. But in the realities, there are the parties who commit to breach the contract. This research aims to analyze the legal protection granted to the trade secrets in the franchise agreement and comparative legal protection of trade secrets between Indonesia, the United States, and Australia. The method used in this research is normative research by conducting literature studies on legislation and other legal materials. The results of this research are the legal protections given to trade secrets in the context of the franchise agreement in Indonesia are divided into two: preventive and repressive protections. The protections are contained in several provisions one of which is, the provisions of Article 13 of Law No. 30 of 2000 on Trade Secrets as well as some related regulations. In the United States, there is the Uniform Trade Secrets Act and the Economic Espionage Act of 1996 which is used to protect trade secrets. Law enforcement of these provisions is very strict one of them is by way of confiscation of property resulting from the divulging of trade secrets. Furthermore, in Australia there is a justification in divulge of trade secrets so that it is not immediately can be categorized as a crime and law enforcement against the divulging of trade secrets is very strict. While in Indonesia there is no justification in the divulging of trade secrets.
Key words: Protection, Trade Secrets, Agreement, Franchise.
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