For Business

Non-Disclosure Agreements and Confidentiality

Non-Disclosure Agreements and Confidentiality

A non-disclosure agreement (NDA) or confidentiality agreement, is a contract between parties whereby the disclosing party agrees to disclose information on the basis that the recipient party will maintain the confidentiality of that information.

NDAs are frequently used between parties to protect commercially sensitive information. It may be that the information is especially valuable to the company, or that it would be particularly disastrous if a competitor got hold of it. In such circumstances, it may not be enough to rely upon a relationship of confidence; businesses will usually want a contract in place to provide protection. Furthermore, it serves as a useful tool for indicating the seriousness of the parties’ intent.

It is vital to consider the appropriateness of using an NDA before it is too late and the relevant information has already been disclosed – it is much more difficult to retrospectively protect that information once it has been released and to ensure the information does not reach the public domain.

At BakerLaw, we can advise disclosers or recipients on NDAs both in respect of commercial contractual arrangements or as part of a business sale or purchase.

Commercial and Employment Newsletter

  • Posted

We recently circulated our Commercial and Employment Update containing the following articles and news: What are you trading as?: Companies What happens if an employer doesn't respond to an employment tribunal claim? Can an...

What are you trading as? (3/3): Unincorporated Associations and Community Interest Companies

Danielle Collett-Bruce
  • Posted
  • Author

Simply ‘setting up a business’ is not as straightforward as it might sound. There are a multitude of ways in which a business can go about its operations and a variety of factors which should be considered in weighing up this decision. The...