Civil Liability for the Use of Confidential Information in Pre-Contractual Negotiations in Iranian and French Law

Document Type : Scientific Research

Authors

1 Ph.D. Student in Private Law, Faculty of Law and Political Sciences, University of Shiraz, Shiraz, Iran.

2 Assistant Prof, Department of Private and Islamic Law, Faculty of Law and Political Sciences, University of Shiraz, Shiraz, Iran.

Abstract

The obligation of confidentiality concerning classified information acquired by the negotiating parties during the pre-contractual period—that is, information which is inherently and through the course of pre-contractual negotiations confidentially disclosed by one party to the other—is of significant importance. Such information must not be used without authorization. The obligation to refrain from using such information without obtaining permission, the channels giving rise to liability, the nature of the consequent sanctions, and ultimately the method of redress, similar to the obligation of non-disclosure, fall within the scope of adhering to the principle of confidentiality. The violation of this obligation gives rise to compensatory liability and is protected by law. The foundations of this liability, from both contractual and non-contractual perspectives—especially given the recommendation that parties consider a confidentiality clause during pre-contractual negotiations to prevent the counterparty from using confidential information—and considering that, in Iranian law, similar to French law, non-contractual civil liability has various channels, encourage us to analyze such liabilities in the scenario of using confidential information obtained during the pre-contractual period. This analysis employs a descriptive-analytical method through the interpretation and analysis of texts and data from library resources. It leads to the conclusion that, provided the necessary conditions are met, it is possible to protect a person whose confidential information has been used through both contractual and non-contractual bases, concurrently and alternatively.

Keywords

Main Subjects

References

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