| Amendments to the Industrial Technology Protection Act in Korea: Expanded Coverage and Strengthened Court Order Procedures |
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| On November 13, 2025, the National Assembly passed partial amendments to the "Act on the Prevention of Leakage and Protection of Industrial Technology" (the "Industrial Technology Protection Act" or the "Act"). The amendments designate core strategic technologies in the materials, parts, and equipment sectors ("Core Strategic Technologies") as protected industrial technology under the Act and clarify the rules and procedures relating to the court order system for the submission of materials in litigation involving industrial technology infringement or information leakage (the "Amendments"). |
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| 1. |
Addition of "Core Strategic Technologies" to Protected Industrial Technology |
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| The Amendments have broadened the definition of industrial technology to include "Core Strategic Technologies," as designated under Article 12 of the "Special Act for Strengthening Competitiveness and Stabilizing Supply Chains in the Materials, Parts, and Equipment Industry" (new Article 2(i) of the Act). |
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| This expansion specifically identifies vital technologies in the materials, parts, and equipment sectors—such as semiconductors, secondary batteries, and displays—as essential to national economic security, extending the protection of the Act to these strategically important technologies. By explicitly including Core Strategic Technologies within its scope, the Act now provides enhanced criminal penalties and other safeguards against unauthorized use, leakage, or infringement of these technologies. |
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| Specifically, Core Strategic Technologies have been designated across a range of key sectors, in line with the [Appendix] to the "Notice on the Procedures for the Selection and Review of Core Strategic Technologies and Related Items." These designations include: semiconductors (32 items), displays (14 items), automobiles (15 items), machinery and metals (41 items), electrical and electronics (24 items), chemicals (15 items), bio (19 items), aerospace (20 items), defense (2 items), and hydrogen (18 items). As a result, companies operating in these sectors are expected to more proactively assert their rights and take advantage of the enhanced protections under the Industrial Technology Protection Act. |
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| 2. |
Clarification and Strengthening of the Court Order System for Submission of Materials |
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| Under the current law (Article 22-3), although courts have the authority to order the submission of materials, the lack of specific procedures for handling non-compliance has limited the effectiveness of this provision in practice. The Amendments significantly enhance these procedures to improve trial efficiency and the court's ability to compel submissions of materials in cases involving alleged industrial technology infringement or information leakage. |
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| (1) Establishment of In Camera Review Procedure |
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| The Amendments introduce a clear process for in camera review. If a holder of materials refuses to comply with a submission order by citing legitimate grounds, the court may now order that the materials be submitted confidentially for in camera review (new Article 22-3(2) of the Act). This review enables the court to determine the validity of the refusal, balancing the need for disclosure against the protection of sensitive information. |
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| (2) Restriction on Grounds for Refusal |
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| The Amendments clarify that refusal to submit materials is generally not permissible—even if the materials involve industrial technology or trade secrets—if they are essential for proving infringement or calculating damages. In such cases, the court is required to specify the scope of disclosure and determine who may access the materials, consistent with the underlying purpose of the submission order (new Article 22-3(3) of the Act). |
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| (3) Strengthening Sanctions for Non-compliance |
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| To ensure compliance, the Amendments establish robust sanctions. If a party fails to comply with a court's order to submit materials without justifiable cause, the court may accept the opposing party's assertions regarding those materials to be true (new Article 22-3(4) of the Act). Moreover, if the requesting party faces significant difficultly in specifically asserting the content of the materials and proving facts by other evidence, the court may also accept as true the facts the requesting party seeks to prove through those materials (new Article 22-3(5) of the Act). These provisions substantially strengthen the enforceability of submission orders by clearly establishing legal sanctions for non-compliance. |
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| 3. |
Expansion of the Court's Authority to Order Confidentiality |
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| The Amendments significantly broaden the court's authority to mandate confidentiality measures, extending protection beyond traditional industrial technology to explicitly include trade secrets (new Articles 22-4 and 22-5 of the Act). This expansion serves as a counterbalance to the newly introduced requirement for the compulsory submission of trade secret information when such information is necessary to prove infringement or calculate damages, and aims to prevent the unfair disclosure or misuse of trade secret information disclosed during litigation. |
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| Following previous amendments to the Industrial Technology Protection Act that had relaxed the requirements for establishing industrial technology infringement and significantly increased penalties, the latest Amendments further strengthen protection by explicitly adding Core Strategic Technologies to the scope of protected industrial technology and reinforcing measures for the submission and protection of sensitive information. As a result, right holders may now benefit from a reduced evidentiary burden and enhanced mechanisms for obtaining relief. |
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| On the other hand, companies accused of infringement may face heightened challenges in defending against infringement claims. Accordingly, companies operating in key sectors such as semiconductors, displays, automobiles, machinery and metals, electrical and electronics, chemicals, biotechnology, aerospace, defense, and hydrogen energy are strongly advised to review the adequacy of their compliance systems and proactively monitor and update their internal practices to ensure alignment with the new legal requirements. |
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| The Amendments will take effect six (6) months following promulgation. Our office will continue to closely monitor further legislative and policy developments and provide timely updates to assist companies operating in the technology sector. |
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