Meyer Turku and Meyer Werft

Meyer shipyards awarded compensation and damages in a criminal case concerning copyright and trade secret infringement

18/10/2023

We successfully acted for Meyer Turku Oy and Meyer Werft GmbH & Co. KG in an extensive criminal case, from the very beginning of the internal investigation to the court’s decision. The case centred around a person having made unauthorised copies of thousands of files containing Meyer-proprietary information and providing consulting services to a competing Chinese shipyard.

The District Court handed down its judgement in October 2023, holding that the offender’s actions constituted criminal copyright and trade secret infringement as well as industrial espionage. The court furthermore held that the offender’s actions could be attributed to a limited liability company he had set up. The court ordered the company to pay Meyer EUR 5 million in compensation for the infringement and also awarded Meyer damages for its expenses. The court thus accepted Meyer’s claims in full. The matter is an exceptionally extensive and significant case on criminal trade secret and copyright infringement.

Meyer Turku and Meyer Werft are among the largest and most modern shipyards in the world. Luxury cruise ships built by Meyer are internationally known for their cutting-edge technology and innovativeness.

Outset

In 2018, Meyer received indications that certain Meyer-proprietary files might have been copied from its systems unlawfully. An extensive internal investigation revealed that that a person had copied a significant number of files containing information protected under both copyright and trade secret laws. The offender had also set up a limited liability company and, in the summer of 2018, entered into a service agreement with a Chinese shipyard. Under the agreement, the offender was to provide consulting services relating to new innovation and technology to the Chinese shipyard. The offender and his company also received significant payments from the Chinese shipyard.

After the internal investigation, a police report was filed in the late summer of 2018. In addition, the offender’s property was confiscated for security. Criminal charges were filed, and Meyer presented its claims for compensation and damages as a complainant.

Results

The District Court agreed with Meyer and the prosecution that the offender’s actions met all the elements of criminal copyright and trade secret infringement as well as of industrial espionage. The court held that the offender’s actions constituted infringement of Meyer’s copyrights and its neighbouring database and catalogue rights under the Finnish Copyright Act and that all the elements of criminal trade secret infringement and industrial espionage, as defined in Finnish law, were met.

The court also held that the offender’s actions could be attributed to the limited liability company he had set up. The court ordered the company to pay Meyer EUR 5 million in compensation for the copyright and trade secret infringements. The court also awarded Meyer damages and legal costs as claimed. The court thus accepted Meyer’s claims in full. This decision is noteworthy for the protection of the European shipbuilding industry’s know-how in general.

The judgment is not final.