2024.05.14
Reinforcement of Protection of Shared Data with Limited Access
OTHER
Reinforcement of Protection of Shared Data with Limited Access
As for “Partial Amendment of the Unfair Competition Prevention Act etc.” promulgated on June 14, 2023 (and to be enforced in April 2024), we explain amendment on “shared data with limited access.”
1. Shared Data with Limited Access
After amended in 2018, the amended Unfair Competition Prevention Act (enforced on July 1, 2019) defines valuable data which satisfy certain requirements as “shared data with limited access,” and positions highly malicious acts of wrongful acquisition, use, etc. of such data as “unfair competition acts” under the Unfair Competition Prevention Act.
“Shared data with limited access” refers to data expected to be utilized, which will result in creation of new business, or increase in additional value of services or products when supplied and shared between some companies.
In detail, one example of such data is high-accuracy 3-dimensional map data provided to and shared among automotive manufacturers, general users, local governments, etc.
For shared data with limited access, the Unfair Competition Prevention Act stipulates three requirements in Article 2: “limitation of access,” “accumulation to significant extent,” and “electromagnetic management.”
(1) Limitation of Access
Article 2 defines the term “shared data with limited access” as data “to be provided to specific persons on a regular basis.” If data is provided as part of repeated and continuous business, or intention of providing the data as part of business is recognized, this requirement is satisfied.
(2) Accumulation to Significant Extent
Article 2 defines the term “shared data with limited access” as data “accumulated to a significant extent by electronic or magnetic means.” Here, regarding “significant extent,” it is supposed that additional value to be generated by the data being accumulated by electronic or magnetic means, possibility of utilization, transaction price, and efforts, time, costs, etc. invested for collection and analysis of the data are taken into consideration.
(3) Electromagnetic Management
Article 2 defines the term “shared data with limited access” as data “managed by electronic or magnetic means.” If it is clear to outsiders that an owner of data who manages the data intends to manage the data as data to be provided only to specific persons, this requirement is satisfied. In detail, if the data is managed with a technique of limiting access to the data, such as setting an ID or a password, this requirement is satisfied.
2. “Shared Data with Limited Access” before Amendment
Before the amendment, the term “shared data with limited access” was defined so that “information that is kept secret is excluded” (Article 2(7) of the Unfair Competition Prevention Act). As illustrated below, among information satisfying the requirements for shared data with limited access, “information that is NOT kept secret” was protected as shared data with limited access, while “information that is kept secret” was not protected as shared data with limited access, which was a problem.
1. Shared Data with Limited Access
After amended in 2018, the amended Unfair Competition Prevention Act (enforced on July 1, 2019) defines valuable data which satisfy certain requirements as “shared data with limited access,” and positions highly malicious acts of wrongful acquisition, use, etc. of such data as “unfair competition acts” under the Unfair Competition Prevention Act.
“Shared data with limited access” refers to data expected to be utilized, which will result in creation of new business, or increase in additional value of services or products when supplied and shared between some companies.
In detail, one example of such data is high-accuracy 3-dimensional map data provided to and shared among automotive manufacturers, general users, local governments, etc.
For shared data with limited access, the Unfair Competition Prevention Act stipulates three requirements in Article 2: “limitation of access,” “accumulation to significant extent,” and “electromagnetic management.”
(1) Limitation of Access
Article 2 defines the term “shared data with limited access” as data “to be provided to specific persons on a regular basis.” If data is provided as part of repeated and continuous business, or intention of providing the data as part of business is recognized, this requirement is satisfied.
(2) Accumulation to Significant Extent
Article 2 defines the term “shared data with limited access” as data “accumulated to a significant extent by electronic or magnetic means.” Here, regarding “significant extent,” it is supposed that additional value to be generated by the data being accumulated by electronic or magnetic means, possibility of utilization, transaction price, and efforts, time, costs, etc. invested for collection and analysis of the data are taken into consideration.
(3) Electromagnetic Management
Article 2 defines the term “shared data with limited access” as data “managed by electronic or magnetic means.” If it is clear to outsiders that an owner of data who manages the data intends to manage the data as data to be provided only to specific persons, this requirement is satisfied. In detail, if the data is managed with a technique of limiting access to the data, such as setting an ID or a password, this requirement is satisfied.
2. “Shared Data with Limited Access” before Amendment
Before the amendment, the term “shared data with limited access” was defined so that “information that is kept secret is excluded” (Article 2(7) of the Unfair Competition Prevention Act). As illustrated below, among information satisfying the requirements for shared data with limited access, “information that is NOT kept secret” was protected as shared data with limited access, while “information that is kept secret” was not protected as shared data with limited access, which was a problem.
See “Outline of ‘Partial Amendment of the Unfair Competition Prevention Act etc.’ [Comprehensive Law on Intellectual Property],” Economic and Industrial Policy Bureau, Intellectual Property Policy Office, Japan Patent Office, System Planning Office
3. “Shared Data with Limited Access” after Amendment
According to the recent law amendment, “shared data with limited access” is now defined so that “trade secret is excluded” (Article 2(7) of the Unfair Competition Prevention Act). As a result, among the information satisfying the requirements for shared data with limited access illustrated above, “information that is kept secret” is also protected as shared data with limited access.
4. Conclusion
In business, how to collect big data, and how to share, analyze, or utilize the collected big data is very important.
Although many issues remain for shared data with limited access, because it is still supposed to be difficult to prove wrongful use of data by an infringer, we will keep paying attention to future law amendments.
3. “Shared Data with Limited Access” after Amendment
According to the recent law amendment, “shared data with limited access” is now defined so that “trade secret is excluded” (Article 2(7) of the Unfair Competition Prevention Act). As a result, among the information satisfying the requirements for shared data with limited access illustrated above, “information that is kept secret” is also protected as shared data with limited access.
4. Conclusion
In business, how to collect big data, and how to share, analyze, or utilize the collected big data is very important.
Although many issues remain for shared data with limited access, because it is still supposed to be difficult to prove wrongful use of data by an infringer, we will keep paying attention to future law amendments.
