Netherlands jurisdiction report: A growing problem of trade secrets

A system to cultivate herbs effectively in a vertical manner would be a huge improvement in view of food and land shortage around the world. Imagine the possibilities when you can effectively cultivate herbs within one building at different levels. Key to whoever wants to develop such new sustainable solutions and maintain a priority position and safeguard patentability, etc, is keeping knowhow a secret.

That is exactly what Future Crops tried to do. As Future Crops could not set up everything on its own, it contracted third parties for support in different project phases, one of which was Certhon. Certhon was contracted to develop so-called climate chambers in phase one of the project (the project was in three phases) and for that purpose the parties signed a non-disclosure agreement (NDA).

The breach

In January 2017 a first breach of the NDA was noticed by Future Crops. One of the employees of Certhon was caught taking photographs of phase one of the project. In response Future Crops made Certhon aware of its zero-tolerance policy when it came to trade secrets. On July 4, 2017 Certhon was caught again taking photographs, now in phase two.

After this breach Future Crops held Certhon liable for the breach and requested a signed non-infringement declaration, declaring that it would not use nor share any of the observed knowhow. Certhon denied the request. Subsequently proceedings for infringement of trade secrets were initiated.