Observant clients often ask me whether Jewish law permits gathering information on competitors. In the column “Business espionage: permitted or forbidden?” in “Parasha”, the Chabad youth newspaper, Rabbi Menachem Wahba addresses this question. Here I summarize the main points in my own words, and explain how they shape my work.
Business competition in itself is permitted
According to the column, business competition is not wrong. As long as it is honest and fair, and leaves others free to compete too, it is permitted, and can even help the market develop and lower prices for consumers.
At the same time, Rabbi Wahba notes that in some cases one should go beyond the letter of the law (“midat chassidut”) and avoid steps that could disproportionately harm other people’s livelihoods.
Where the line runs: forbidden espionage
Business espionage in the negative sense crosses the line. Covert surveillance, intruding into another’s domain, or using deception to obtain information not meant to be published is forbidden as geneivat da’at (deception), even when no direct financial damage is caused.
The column adds that such actions also violate civil law, and breaking the law carries halachic weight of its own.
Open-source business intelligence: permitted
Not every collection of information about competitors is espionage. According to the column, there are legal and legitimate forms of business intelligence based on open information and public publications, used to analyze a competitor’s business activity and identify the target audience.
The reasoning: when a business chooses to publish information, it is aware of the consequences. Using such information for analysis and efficiency is therefore permitted under Jewish law as well.
The halachic sources
The column cites these sources:
- Babylonian Talmud, Bava Metzia 58b.
- Shulchan Aruch, Choshen Mishpat 228:4.
- Responsa Avnei Yashpeh, vol. 7, 124:3.
- Responsa B’Ohalah Shel Torah, vol. 6, 44.
How this shapes my work
This distinction is exactly the line I work by. Modi-In uses only open information and commercial databases purchased lawfully: no covert surveillance, no intrusion into websites or systems, no stolen data and no dark web. That keeps the research within the law, and within the limits Jewish law sets.
Full details: How I work.
Source: Rabbi Menachem Wahba, “Business espionage: permitted or forbidden?”, Parasha (Chabad youth newspaper), issue 292, 13 Sivan 5786, p. 2. This is a summary in my own words, not a halachic ruling. For a practical question, consult a rabbi.
