What is a NDA (non disclosure agreement)? What are the things it covers?

In the simplest of terms, a non-disclosure agreement (NDA) is a contract between parties that limits how information can be shared with others outside the contract. Other names for the document may include:

  • Confidentiality Agreement (CA)
  • Confidential Disclosure Agreement (CDA)
  • Secrecy Agreement (SA)
  • Propriety Information Agreement (PIA)

The most pertinent information you should include:

  • Definition of confidential information
  • All parities involved in the contract
  • Specific terms
  • Duration of all terms
  • Allowed use of the information
  • Responsibility of legal fees (should litigation occur)
  • Non-binding clause
  • Potential remedies in the event of a breach

Of course, a non-disclosure agreement does not cover everything, including information that is considered public.

If you need help crafting a non-disclosure agreement, reach out to my company, LawTrades. We can connect with you a seasoned contract attorney that can create the most solid NDA to protect your business. If you have other quick legal questions, you may be interested in LawTrade Micro. It’s a simple and affordable (usually $25) way to request an answer from an attorney and receive a customized response within 48 hours. Hope to hear from you!