LAW ON DEFENCE cUrrEnt SitUation Law on Defence is effective since the end of 2007. Although this Law is of a broader social and public interest and, in addition, it has not been enacted recently, we consider that there is a need to highlight the part of this Law regulating the relation to the business community, bearing in mind that significant obligations may be imposed on a business entity the content of which is not always clear and certain. According to this Law, all business entities should provide information within their scope of business relevant for the defence of the State. The scope is too broad and in practice it may involve confidential information requiring particular protection. In addition, in the case of war and state of emergency, business entities, besides a material obligation, have the general obligation to undertake defence activities related to planning, organising, preparing and training to conduct business activities under these specific conditions. They are responsible to maintain the level of production and services within their registered business activity, as determined by the defence plans and decisions of relevant authorities. The Government determines, by decree, the business entities and business activities that are of relevance for the national defence. In peace, these business entities are required to plan measures for their activities in state of war or emergency to ensure production and services, to secure priority production and services, and the supply of goods in accordance with the needs determined by defence plans, which is the subject of specific agreements concluded with the relevant government authority. It is important to highlight that these companies are not allowed to change the intended purpose of the production facilities without the consent of that authority. PoSitiVE dEVELoPmEntS Although this Law has not been a subject of discussion previously, a positive development in the implementation of this Law in relation to the obligations of business entities is the enactment of the related by-laws elaborating the general provisions of the Law, thus reducing the possibility of different interpretations as to how to determine business entities relevant for defence purposes and which obligations may be imposed in case of state of war or emergency. Furthermore, the enactment of the Law on Protection of Confidential Information may be considered as a positive side, whereby the matter of the determination and protection of confidential information pertinent to state interest has been regulated. Also, the Law on the Protection of Trade Secrets was enacted in September 2011, which should enable better protection of confidential data. rEmaininG iSSUES Despite the existence of certain by-laws, the criteria by which business entities may be defined as entities of importance to national defence cannot be predicted, and neither can their potential obligations in relation to national defence. In addition, the level of information required from them is quite broad and the protection of certain data is arranged mainly in relation to information relevant to national and public security, not necessarily to the data that are a trade secret and where public interest is not compromised. 108 top �
� top <strong>Fic</strong> <strong>rEcommEndationS</strong> Strict application of regulations concerning protection of confidentiality and monitoring of their proper use in relation to data revealed by business entities in terms of its business operations and which are not only important for public security reasons; Larger transparency in determining entities of importance to the national defence; Larger transparency in determining the kind of obligation that could be imposed on business entities, with a view to limiting the burden on private companies as much as possible. 109
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