Breach of confidence involves the unauthorized use of confidential information, leading to liability for damages based on the actual loss or gain rather than speculative valuations.

[1] In a world where information travels at a speed rivalling that of light, there is a real temptation for an employee, when leaving the company, to take with him the confidential information of the company, especially when the employee is joining a competitor. A balance has to be found between protecting the confidential information of the employer and the employee seeking employment in a similar line where knowledge and experience gained at the previous employment would be what makes the employee more marketable.

[2] The dividing line between confidential information and general knowledge, experience and expertise gained may be rather blurred in some instances. Coupled with that is the prohibition in our Contracts Act 1950 in s 28 where all contracts in restraint of trade against an employee are void. However, what is clear is that in whatever way a previous employee may want to be engaged in a competing setup or business, he is not to use the confidential information gained during his previous employment for his own benefit or that of the new competitor company that he now works for.

[3] The Plaintiff, Binary Group Services Sdn Bhd ("BGS") had sued its ex-employee the Defendant, Karen Yap, for essentially misappropriating the confidential information of its Affiliates, Affiliate Leads and Introducing Brokers ("Business Partners") and Clients in its database. The Plaintiff operates a website binary.com which provides, euphemistically speaking, customers with an online platform allowing users to trade currencies, contracts for differences (CFDs), commodities, and synthetic and volatility indices.

[4] The crude and candid word for the Plaintiff's business as pleaded by the Plaintiff is that it provides an online platform for gambling. Apparently, anything that moves up and down with an element of unpredictability, is fodder for the gambling business. It is an industry as old as mankind; the poor hope they become rich and the rich dream of going for the kill and becoming super rich. Whatever the fortune or misfortune that may be visited upon the trader, the company would always make money because it earns a commission on the bet place be it for selling or buying at an agreed price.

[5] We live in days where all of us who use the Internet would leave behind our digital footprints. There is no email sent and document saved or files copied that cannot be traced by forensic IT experts. Even by deleting the delete and deleting the delete of the delete (ad infinitum), what is deleted can still be retrieved with some difficulties no doubt. Little wonder that privacy, confidentiality and Internet security are now very much prized.

In The High Court

[6] The Plaintiff's cause of action in the High Court against the Defendant was for:

(a) tort of deceit in that the Defendant fraudulently misrepresented to the Plaintiff that she would be resigning to join a start-up in computer games and the Plaintiff acted to its detriment by allowing the Defendant continued access to the 'Confidential Information':

(b) breach of confidence, both in contract and in equity, where the Plaintiff claimed that the Defendant breached her obligations of confidence by removing or transmitting the 'Confidential Information' and disclosed the