The Unfair Competition Prevention Law (Law No. 47 of 1993) provides a framework for the effective protection of trade secrets. A ‘trade secret’ is defined in the law as a production method, sales method, or any other technical or operational information useful for business activities that are kept secret and are not publicly known (Art. 2). According to Art. 3 of the law, those businesses or persons whose business interests have been, or are threatened to be, infringed on by misappropriation or illegal disclosure shall have the right to seek an injunction. The Unfair Competition Prevention Act provides civil and criminal remedies in such cases where secret information about the company is stolen or disclosed illegally. To protect information according to the Act, companies need to manage such data as “trade secrets”.

Japan has ratified the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.

Japan has ratified the World Intellectual Property Organization (WIPO) Copyright Treaty.

Japan has a clear regime of copyright exceptions that follows fair practice, which enables the lawful use of copyrighted work by others without obtaining permission. Arts. 30-50 of the Copyright Act lists the exceptions, which include quoting and thereby exploiting a work that has been made public. In such a case, the work must be cited consistent with fair practices and within a scope that is justified for the purpose of news reporting, critique, study, or another place in which the work is quoted; to broadcast or cablecast a work that has been made public, in broadcast or cablecast programming for schools that conforms to the curriculum standards provided for in laws and regulations on school education; among others.

Japan is a party to the Patent Cooperation Treaty (PCT).

According to Arts. 8 and 184-11 of the Patent Act, the appointment of an agent is required if the applicant is not resident in Japan. Such an agent must be resident in Japan or a firm registered to practice before the Japan Patent Office. In addition, pursuant to the Art. 184-4, translation of international applications is required into Japanese.

Under the Companies Act (Act No. 86 of 2005) and the Ordinance for Enforcement of the Companies Act (Ordinance of the Ministry of Justice No. 12 of 2006), there are residency requirements for the members of the board of directors of joint-stock corporations (Kabushiki Kaisha) which are reported to be the dominant entities in Japan. At least one director with the right of representation must have an address and reside in Japan. This regulation applies to join stock companies. Furthermore, at least one executive officer with the right of representation must have an address in and reside in Japan.

Under the Foreign Exchange and Foreign Trade Act (Act No. 228 of 1949), foreign investors in businesses relating to telecommunications who acquire as small as one percent or more of shares of listed companies or who acquire shares of unlisted companies from a domestic investor, among others, must file a prior notification to a relevant ministry. The ministry, after reviewing the notification, may order suspending or amending the filed investment. However, the suspension order has been rarely exercised.

The Act on Nippon Telegraph and Telephone Corporation (Act No. 85 of 1985) prohibits foreign people from becoming a board member in NTT Group, NTT East and NTT West.

According to Arts. 4 and 6 of the Act No. 85 of 1984, foreigners' aggregate ownership cannot exceed one-third of the aggregate voting rights of Nippon Telegraph and Telephone Corporation (NTT), which holds all the issued shares of NTT-East and NTT-West.

Although the Japan Union is a signatory to the WTO Government Procurement Agreement (GPA), its coverage schedules do not include telecommunications-related services (CPC 754) and only partially cover telecommunications services (CPC752), which are important services sectors for digital trade.

Art. 19 of the Act on Promotion of Securing Quality of Public Works (Act No. 18 of 2005), enacted in 2005, provides that the government entities may change a target price based on the results of the examination of technical proposals, especially when novel technologies and innovation are involved.

It is reported that there have been concerns among foreign industry with Japan's use of technical specifications in public procurement. Specifically, it has been argued that technical specifications were used to exclude certain foreign products and services.

Procurement by local government entities is governed by Local Autonomy Act (Act No. 67 of 1947) and the implementing enforcement ordinance. Local governments may require tenderers to have their offices located in a specific city if such a requirement is deemed as appropriate and reasonable given the type and the nature the contract.

Japan is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 and its 2015 expansion (ITA II).