ABSTRACT
As corporate activities become more global, infringements on transnational trade secrets are expected to increase. When it comes to civil remedies for infringement on trade secrets, a major challenge is how to determine the applicable governing law. There are no specific rules regarding the governing law in this situation. Judicial precedents and various commentators construe that Article 17 of the Act on General Rules for the Application of Laws, which stipulates the governing law of torts, is applicable in this case and that the governing law is the law of the ‘place where the results of the infringing act are produced’. However, a variety of views have been expressed regarding the ‘place where the results of the infringing act are produced’. Some argue that it is the place where the trade secret is being managed, while others say that it is where the holder of the trade secret is located. Still others assert that it is the place where the affected market exists. This article refers to Article 6 of the European Union’s Rome II Regulation and argues that the governing law is the law where the affected market is located. This view conforms to the purpose of the unfair competition law – the maintenance of fair competition.
