Quick tips for Non Disclosure and Confidentiality Agreements

Non-Disclosure Agreements (NDA) (also commonly known as Confidentiality Agreements) are used in a variety of business relationships. Some circumstances where the parties may wish to enter into an NDA are as follows:

• Employment relationship: a prospective employee, independent contractor or consultant to a business may be asked to sign an NDA as a condition of being hired.
• Joint ventures: two companies considering doing business with each other will want to protect any confidential information that they share with each other during their business relationship, especially in the event that the relationship breaks down or ceases.
• Supply, distribution or franchise relationship: a business that relies on third party vendors, suppliers, distributors, sub-contractors or franchisees who will have access to trade secrets or other types of confidential information often requires the other party to enter into an NDA.