Theft of confidential information, including client lists, trade secrets, or intellectual property, can be just as damaging as financial theft.
These breaches can undermine competitive advantage, client trust, and business reputation. We see these cases frequently, and early action is critical.
Catherine Ballantyne provides some useful tips on what you should do in this situation.
1. Secure the Data
Immediately identify what information has been compromised and restrict further access. Cybersecurity experts may be needed to contain the breach.
2. Seek an Injunction
Urgent injunctions can prevent the misuse of confidential information while your claim for damages proceeds.
The Court will be quick to hear these types of cases, understanding that there is real urgency to prevent the use or dissemination of the confidential information.
3. Consider Additional Court Orders
Depending on the circumstances, you may also seek:
- Search Orders to recover documents or data
- Freezing Orders to prevent the perpetrator from dealing with assets
4. Protect Your Intellectual Property
If intellectual property is involved, litigation may be necessary to prevent competitors from benefiting from stolen information.
5. Rebuild Client Confidence
If clients are affected, proactive communication and strengthened protections can help restore trust.
Lessons
Once your data has been stolen by an employee, you need to act quickly to secure the data and prevent its use. This will usually require a Court application.
For further information, please contact Catherine Ballantyne, Principal, Hunt & Hunt, at cballantyne@huntvic.com.au or +61 3 8602 9200.
About the Author
Catherine Ballantyne is Principal and Practice Group Leader – Litigation at Hunt & Hunt Lawyers, with over 20 years’ experience helping clients resolve business disputes. She specialises in contract disputes, defamation, partnership and shareholder disputes, misleading and deceptive conduct claims, and trust disputes, providing practical advice that reflects the commercial realities of litigation. Catherine works closely with clients to help them understand their options, reduce risk, and take clear, strategic steps towards resolving complex disputes.