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CS Professional · Intellectual Property Rights - Law and Practice · Types of Intellectual Property

Meenakshi Spices Pvt Ltd in Madurai has a secret blend ratio for its masala that only three senior employees know. Each signed a confidentiality agreement, and the ratio is kept in a locked vault. A rival hires one of them and learns the ratio. Which statement best describes the legal position in India?

The firm can obtain an injunction and damages for breach of confidence and contract. India has no dedicated trade secrets statute or registration, so protection arises from common law, equity and contractual confidentiality obligations, which the firm has taken reasonable steps to preserve.

  1. ANo remedy exists because India has a dedicated trade secrets statute requiring registration, and the firm never registered
  2. BThe firm can seek an injunction and damages based on breach of confidence and contract, since India protects trade secrets through common law and contract rather than a specific statuteCorrect
  3. CThe firm can only claim relief under the Patents Act, 1970 after filing a patent application
  4. DThe firm can claim relief only if the blend ratio was published in the Trade Marks Journal

Explanation

India has no specific trade secrets statute and no registration system. Protection comes from equity (breach of confidence), contract law and related provisions. The firm's confidentiality agreements and vault show reasonable steps, so injunction and damages are available. Option A is wrong because there is no registration requirement.

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