JAPAN Law and Practice Contributed by: Shinya Tago, Atsushi Fukasawa, Hiroshi Iida and Landry Guesdon, Iwata Godo Law Offices
the UCPA imposes imprisonment with work for up to ten years, a maximum fine of JPY20 million, or both (Article 21) (see below). In the case of phishing and unauthorised access to identifying information, the APUCA imposes impris - onment with work for up to one year or a maximum fine of JPY500,000 (Article 12). Unauthorised access, including hacking, is punishable with imprisonment of up to three years or a maximum fine of JPY1 million. The following acts are also relevant: • the Act on the Protection of Personal Information, concerning data protection; • the Telecommunications Business Act, which seeks to protect the secrecy of communications; and • the Act on Punishment of Activities Relating to Child Prostitution and Child Pornography, and the Protection of Children (CPA) are also relevant. Protection of Company Secrets The UCPA protects trade secrets and shared data with limited access. A trade secret is technical or busi - ness information that is useful for commercial activi - ties and is controlled as a secret and not publicly known. Shared data with limited access is technical or business data that is handled as data to be pro - vided to specific persons on a regular basis, and that is accumulated in substantial quantities by electronic, magnetic or other methods that cannot be recognised by human senses alone (excluding information kept secret). According to Article 21, a person who uses or dis - closes a trade secret acquired by the following means can face imprisonment of up to ten years and/or a maximum fine of JPY20 million: • fraud (deceiving, assaulting or intimidating a per - son); • asset theft; • breaking into facilities; • using unauthorised access under the APUCA; • misappropriating a recording medium containing trade secrets; and • other unlawful means.
The following individuals will be punished: • a person who was an officer or employee of the trade secret holder, to whom the trade secret holder had disclosed trade secrets, and who has offered to disclose them to make wrongful gains or cause damage to the trade secret holder; or • a person who receives a request to use or disclose trade secrets while holding that position, in breach of their legal duty regarding the management of trade secrets, and who uses or discloses them after leaving that position. 3.10 Financial/Trade/Customs Sanctions The Foreign Exchange and Foreign Trade Act The Ministry of Finance (MOF) and METI can impose financial/trade sanctions under the Foreign Exchange and Foreign Trade Act (FEFTA). Trade control is exer - cised through FEFTA-compliant measures, such as: • importation/exportation permission and approval screening; and • on-site inspection and disposal of illegal exports. Furthermore, Japan collects and exchanges informa - tion with other countries to combat attempts to cir - cumvent export bans and prevent sanctioned coun - tries from acquiring restricted goods or sensitive technologies through illicit means. Export Control The legal structure of Japan’s export control system is a complicated mix of primary and secondary leg - islation: • the FEFTA provides the legal basis for export con - trol; • the Export Trade Control Order specifies the con - trolled goods under Article 48 (1) of the FEFTA; and • the Foreign Exchange Order specifies controlled technology under Article 25 (1) of the FEFTA. The FEFTA defines the basic framework and principles of the control of exports of weapons and dual-use items, as well as technology transfers and the need for a METI licence. Any person conducting a transac - tion subject to Article 25 (1) or 25 (4) without obtaining
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