WHEN IS GOOD TO USE AN NDA
September 7th 2015 at 9:46pm Published by firstdownadmin
A Non-Disclosure Agreement (NDA) is a legally enforceable contract that establishes confidentiality between two parties – the owner of protected information and the recipient of that information. By signing an NDA, participants agree to protect confidential information shared with them by the other party.
An NDA is a legally binding contract that requires parties to keep confidentiality for a defined period of time. It’s up to the parties to decide what would be considered confidential and what is not.
In almost all cases involving an NDA breach, you’ll be able to pursue damages stemming from a breach of contract. Other legal recourses may include copyright infringement, trade secret misappropriation, breach of fiduciary duty, conversion, and other various IP violations
Non-disclosure agreements are an important legal framework used to protect sensitive and confidential information from being made available by the recipient of that information. Anybody in breach of an NDA will be subject to lawsuit and penalties commensurate with the value of lost profits.
NDAs should be used in addition to security measures you take to protect your confidential information. Remember that these legal agreements provide you with legal recourse in case of a breach, but most legal actions are costly and take time.
NDAs are primarily valuable because they protect the confidentiality of corporate information. To be more precise, an NDA creates a legally enforceable obligation to restrict use and limit disclosure of the information that’s protected by the NDA.