Breach of Confidence of Business Brisbane

What should you do?

Practical tips for businesses that have lost confidential information.

Act quickly

Because delay is one of the reasons why a Court will not want to issue an injunction.

Identify with precision

Exactly what confidential information has been lost or disclosed and who was behind it.

Limit Disclosures

Limit any further disclosure or misuse immediately, by revoking system access and changing passwords.

Check the source

Of the confidentiality obligation and follow through on notification obligations.

Consider urgency

Consider whether urgent legal action is required, including urgent application for evidence preservation orders.

Review

Review and improve internal confidentiality protections after the loss to prevent future breaches.

Quick summary of breach of confidence

Claims may arise under contract, equity or, in some cases under, statute or because of a persons role.

The business must show that the information:

  • had the necessary quality of confidence
  • had commercial value or was shared in circumstances requiring confidentiality
  • was not public, obvious or trivial
  • was used or disclosed without authority, causing actual or potential detriment

What is a breach of confidence?

1

What is a breach of confidence

A breach of confidence occurs where a person uses or discloses confidential information without authority.

2

The legal test

Generally requires that: the information has the necessary quality of confidence; it was received in circumstances importing an obligation of confidence; and there was unauthorised use or disclosure causing detriment.

3

Claims

Claims usually arise in equity or contract, including confidentiality clauses and NDAs.

4

Applicable Laws

Depending on the information involved, legal action may be pursued under the Privacy Act 1988 (Cth), Corporations Act 2001 (Cth) or intellectual property legislation.

5

Summary

Simply put, it means misusing information that should have been kept confidential.

Who can commence legal proceedings?

Proceedings are usually commenced by the corporate owner of the confidential information.  Court action must be supported by a recognised legal basis.  Limitation periods vary by claim and jurisdiction, and urgent action may be needed to preserve remedies.

Relief and remedies for breach of confidence?

Where confidential information has been misused, the affected party may seek court orders to stop further disclosure, recover the information, and address any loss caused.

Possible remedies include:

1

Injunction

To urgently restrain a person from using, publishing or disclosing the confidential information.

2

Delivery up or deletion

To require confidential documents, files or data to be returned, destroyed or permanently deleted.

3

Damages or compensation

To compensate the business for loss suffered because of the breach.

4

Account of profits

To recover profits made by the wrongdoer from misusing the confidential information.

5

Orders against third parties

Third party recipients, directors or others involved in the misuse may also be joined where legally appropriate.

Conduct giving rise to a breach of confidence

Conduct that may amount to a breach of confidence includes using, copying, downloading or disclosing confidential business information without authority.

Common examples include:

Director Misuse

Employee or director misuse

Computer Code

Misuse of computer code

List Disclosure

Customer list discolsure

Other

Unauthorised disclosure

Key takeaways about breach of confidence

1

What is a breach

A breach of confidence may occur where confidential business information is accessed, used, copied or disclosed without authority.

2

Types of information

Confidential information can include client lists, databases, pricing, trade secrets, business strategies, software code and internal documents.

3

Types of claims

Claims may arise under contract, equity or statute, depending on the relationship between the parties and the type of information involved.

4

Consider urgent action

Urgent action may be required to preserve evidence, stop further misuse and protect the business’ legal position.

5

Possible remedies

Possible remedies may include injunctions, delivery up or deletion of information, damages, compensation or an account of profits.

How Dundas Lawyers handles breach of confidence matters

Dundas Lawyers approach to breach of confidence cases, combines years of commercial litigation experience with a practical understanding of intellectual property and disputes between businesses.  Identifying and forensically preserving evidence is at the heart of our approach to breaches of confidence.  In this respect our lawyers use our Uncommon Nous to help clients identify what information is confidential, assess whether it has been misused, and choose the most effective response. 

Disputes we advise on:

  • Misuse of confidential information
  • Disclosure of trade secrets
  • Former employees using client lists, pricing information or internal records
  • Breaches of NDAs or confidentiality clauses
  • Threatened publication or disclosure

What a dispute involves:

  • Identifying confidential information
  • Identifying use or disclosure
  • Reviewing contractual obligations
  • Sending or responding to demands
  • Negotiating undertakings
  • Seeking urgent injunctions
  • Court proceedings if necessary

Information we may request:

  • Relevant contracts or agreements
  • Emails and correspondence
  • Copies of confidential information
  • Evidence of misuse or disclosure
  • Details of involved parties
  • Timeline of key events, including when info was created, accessed & misused

FAQs about breach of confidence

Common questions about breach of confidence and how to address potential breaches.

What is breach of confidence?

Breach of confidence occurs when a person misuses confidential information that was shared with them in circumstances where they knew, or should have known, that the information was confidential.

What information can be confidential?

Confidential information may include trade secrets, client lists, supplier details, pricing information, business strategies, financial information, private communications, designs, formulas, source code or other commercially sensitive material.

Is breach of confidence the same as copyright infringement?

No. Copyright protects original works, while breach of confidence protects information that has the necessary quality of confidence. In some cases, both causes of action may be claims relevant.

Can a former employee use information they learned at work?

A former employee can generally use their own skill, knowledge and experience.  However, they must not misuse confidential information, client lists, computer code and other information which has been held to be confidential.

What do I need to prove in a breach of confidence claim?

Generally, an applicant will need to show that the information was confidential, it was shared or obtained in circumstances importing an obligation of confidence and there was unauthorised use or threatened misuse of that information.

Can breach of confidence matters be resolved without going to Court?

This depends but many breach of confidence disputes are resolved through negotiation, undertakings, settlement agreements or other practical dispute-resolution steps. Court proceedings may still be necessary where urgent relief is required.

Legislation for breach of confidence

Legislation relevant to breach of confidence claims

  • Corporations Act 2001 (Cth) — may be relevant where a director, officer or employee misuses company information obtained through their role.
  • Privacy Act 1988 (Cth) — may apply where the confidential information is also personal information handled by a covered organisation.
  • Copyright Act 1968 (Cth) — may be relevant where the confidential material is also a copyright work, such as documents, software, plans or written content.

Breach of confidence enquiry

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Recent insights about breach of confidence

  • Misuse of confidential information within source code

    Misuse of confidential information within source code

    In Australia, computer code can amount to confidential information as well as being subject to copyright protection.  In some cases the two things overlap as was the case in decision of the Court in Optus Networks Pty Ltd v Telstra Corporation Ltd (2010) 265 ALR 281; [2010] FCAFC 21.

  • Ex-employees and intellectual property protection

    Ex-employees and intellectual property protection

    Ex-employees can be a threat to a company’s intellectual property, but with the right contractual clauses, employers can protect their trademarks, copyright, patent, and design. Learn more about how to safeguard your company’s intellectual property.

  • Use of confidential information – the springboard injunction

    Use of confidential information – the springboard injunction

    This article examines the UK decision of Forse & ors v Secarma Ltd & ors [2019] EWCA Civ 215, which discussed the legal concept of a springboard injunction, and its implications in Australia. The Court must consider similar principles to determine if an injunction should be granted.

  • Injunction sought for breach of confidence

    Injunction sought for breach of confidence

    Dundas Lawyers helped a corporate client protect their confidential information and copyright material from a former employee and contractor. Read the full article to learn how they used detailed work and a chronology to secure justice for their client.

  • Are fiduciary duties owed by former company directors?

    Are fiduciary duties owed by former company directors?

    A former director’s duties and responsibilities to their previous company may not end with their resignation. Find out how the Advanced Fuels Technology Pty Ltd v Blythe & Ors [2018] VSC 286 case explored this concept and what the Court had to say.

  • What exactly is the springboard doctrine?

    What exactly is the springboard doctrine?

    This article examines the ‘springboard’ doctrine which refers to the benefit that is derived because of misuse of confidential information by a defendant that enables them to ‘springboard’ a new product or service to market more rapidly than if they had used their own mind.

  • Know-how vs confidential information

    Know-how vs confidential information

    Understand the difference between “know-how” and confidential information when it comes to employer-employee relationships. Find out how to protect confidential trade secrets and use broad contractual terms to ensure protection. Click through to get the full details.

  • Compilations from the public domain – confidential or not?

    Compilations from the public domain – confidential or not?

    The Court of Appeal in Ezystay Systems Pty Ltd v Link 2 Pty Ltd [2014] NSWSC 180 had to re-examine the test for confidential information. It found that for information to be protected, it must have the necessary attributes of confidentiality and must be the product of skill and ingenuity of the human brain.

Recent Federal Court decisions regarding breach of confidential information

  • New Aim Pty Ltd v Leung [2026] FCAFC 49

    CONTRACT – confidentiality – where the first respondent was employed by the appellant – where the employment contract contained a clause providing that the first respondent shall not misuse confidential information of the appellant – where the contract did not contain a definition of confidential information – where the contractual obligation was equivalent to an…

  • Korea Midland Power Co Ltd v ACIRL Quality Testing Services Pty Ltd (No 2) [2025] FCA 987

    PRIVILEGE – legal professional privilege – third party reports – investigation of alleged misconduct of employees – whether third party reports were created for the dominant purpose of receiving legal advice – held that reports were subjective to legal professional privilege PRIVILEGE – waiver – implied waiver – whether voluntary disclosure of aspects of the…

  • Aristocrat Technologies Australia PL v Light & Wonder, Inc. (No 2) [2025] FCA 64

    Application for interlocutory injunction to restrain individual from using devices containing confidential information – application refused.

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