Legal Documents & Contracts
What is a Franchise Disclosure Document? Key Details Explained
Franchising is often seen as an easier way to start a business. But it still comes with serious legal and financial responsibility.
4 min read
NDA for Third Party
The agreement you sign with everyone who is not on your payroll: an investor, a partner, an outsourced developer, an adviser. Sign it before the first real conversation.
- One-way or mutual, depending on which of you has something to protect
- The term, the exclusions and the jurisdiction all settled up front
- Reusable with as many counterparties as you like
- Drafted by experienced lawyers for the disclosure you are about to make
Get started today
Close the formA few details, then secure checkout. Your expert takes it from there.
Starting at₹2,500+ Govt. Fees
- Your details stay confidential
- Secure online payments
- Queries answered in 24 business hours
- 10,000+ Businesses served
- 100% Satisfaction Guarantee policy
- 4.7/5 Ratings On Google
Prefer to talk to someone first?
What a third-party NDA is
A contract between two or more parties restricting what they may do with the confidential information they exchange.
A non-disclosure agreement is a contract between at least two parties, outlining the confidential material, knowledge or information that they wish to share with one another for certain purposes while restricting access to it by anyone else.
It is used when a new business opportunity is being negotiated, when a business is outsourcing software or web development work, when a developer is sub-contracting work to bring in additional resources or expertise, and when an employee is taken on. Three of those four are third-party situations; the fourth is a different document.
The one signed with somebody outside your business is usually mutual, because two businesses exploring a partnership generally each have something to protect. The one signed with your own staff runs one way and has a complication of its own, set out in the comparison below.
- Parties
- Two or more
- Anyone outside your payroll
- Signed
- Before you disclose
- Direction
- Often mutual
- Both sides bound
- Typical term
- 2 to 10 years
- Or perpetual
- Reusable
- Yes
- Change the names and the categories
- Stamp paper
- Advisable
- Not mandatory
- Notary
- Not required
Why businesses have us draft it
- Drafted around the specific disclosure you are about to make
- Mutual or one-way, decided on the call rather than by a template
- The exclusions written in, so the definition survives being argued with
- We will also review an NDA a counterparty has sent you
- Thousands of businesses served across every state in India
What the drafting covers
- A consultation call about who you are disclosing to and what you are disclosing
- An NDA drafted from scratch, one-way or mutual as the situation requires
- A definition of confidential information written around your actual business
- The permitted disclosures, the term, the governing law and the jurisdiction
- Revisions after you have read the draft
An NDA signed after the information has been shared protects nothing that was already said. This is the one document where the date it is signed decides how much it is worth.
The four clauses that decide whether it works
What is confidential
Defined broadly enough to cover everything you are likely to share. A list of three examples protects three things.
What is not
Already public, already known to them, disclosed by a third party entitled to disclose it, or developed independently. Leaving these out makes the whole definition easier to attack.
How long it lasts
Two to ten years is usual and perpetual is possible. Whatever it is, state it. An obligation with no end date is one a court may read down.
Whose law, whose courts
Especially where the parties are in different countries. This is the clause nobody thinks about until there is a dispute, at which point it is the only one that matters.
A third-party NDA against an employee one
Both are non-disclosure agreements and they are not interchangeable. This one is usually mutual and signed before a conversation; the other runs one way and has a problem of its own if it is signed late.
| Attribute | NDA with a third party | NDA with an employee |
|---|---|---|
| When you need which | ||
| Anyone outsideA prospective investor, a collaborator, an outsourced developer, a freelancer, a consultant or a professional adviser. | Your own staffAnyone on the payroll who will see trade secrets, customer data, financial information or technical know-how in the course of their work. | |
| Before you talkBefore the first substantive conversation. An NDA signed after the information has been shared protects nothing that was said before it. | At the startAt the beginning of the employment, alongside the rest of the joining paperwork. Signing one later is possible but changes what has to be given in return, as the row below sets out. | |
| Often both waysTwo businesses exploring a partnership usually each have something to protect, so the obligations are written to bind both sides equally. | One wayThe employer discloses and the employee receives. There is rarely anything flowing back that needs protecting. | |
| Getting it right | ||
| The deal itselfThe exchange of confidential information, and the discussions it is for, is what each side receives. Nothing separate is needed. | Yes, if it is laterAn NDA signed at the start is supported by the job itself. Put one in front of somebody already employed and they should be offered a benefit over and above their existing salary, or there is nothing they received for agreeing to it. | |
| SometimesA confidentiality clause inside a service agreement or a contractor agreement covers the same ground once the deal is signed. A separate NDA is what covers the period before it, when there is no other contract yet. | YesThe same obligations are often written into the employment contract as a confidentiality clause instead of a separate agreement. A standalone NDA is clearer and easier to point at. | |
| Not mandatoryAdvisable rather than required, and it needs no notary. Stamping is about proving the document existed on the date it says it did. | Not mandatoryIt may be drafted on plain paper or on stamp paper, whichever the employer prefers. | |
| Next step | Get started | Know more |
Swipe the table sideways, NDA with a third party stays in view. Open any attribute to read the detail behind both answers.
Customer reviews
What our clients say
- Rated 5 out of 5
Had a great experience with LegalWiz for my trademark registration. The service was smooth, and the after sales support was excellent. Although the filing took around 3 days, the team stayed connected throughout, provided clear updates, and there were no communication issues. Overall, a very professional and reliable experience.
Vishvam PGJune 2026 - Rated 5 out of 5
Had a wonderful experience. The team was very supportive, responsive and completed everything on time. Thank you for the excellent support.
Ujwala ShettyJune 2026 - Rated 5 out of 5
Jignesh was very helpful and amazing while filling the compliance form for my business. Will take your service again.
Sumit YadavApril 2026 - Rated 5 out of 5
Good support team. No hindrance in executions. Go for it.
Upkar ChaurasiyaApril 2026 - Rated 5 out of 5
JIGNESH BHAI, I wanted to take some time to sincerely thank you for your incredible support with my MSME registration through LegalWiz. From start to finish, Jignesh Bhai, your guidance, patience, and professionalism made what could have been a stressful and confusing process feel completely smooth and manageable. You took the time to explain every step clearly, answered all my questions patiently, and ensured that nothing was left uncertain. Your attention to detail and dedication truly stood out, and it gave me a lot of confidence throughout the process. I really appreciate the effort, care, and commitment you put into helping me. Jignesh Bhai, your service has been exceptional, and I couldn’t have asked for a better experience. Heartfelt thanks once again!
Rahul SharmaApril 2026 - Rated 5 out of 5
Highly recommend services from Legalwiz. Got my LLP conversion process faster. Helpful staff.
Sharad PatelJanuary 2026 - Rated 5 out of 5
Limited Liability PartnershipHad a great experience working with the team! They handled my LLP registration smoothly, guided me clearly through every step, and were always quick to respond. Really appreciate their professionalism and support. Highly recommended!
Rishi KhannaJanuary 2026 - Rated 5 out of 5
They are so quick and highly professional and experienced in the industry to carry out the requirement. Loved their services.
SHASHANK S PANDEYJanuary 2026 - Rated 5 out of 5
Trademark RegistrationVery fast & timely service. The team was very helpful and helped me find out if the brand name was available or not over the call itself without any extra cost or charge. Brilliant service, very clear communication, timely delivery & transperant pricing. Cheers!
Naman PiparaOctober 2025 - Rated 5 out of 5
Trademark RegistrationSatisfied with your unit service and fee grateful to connect with you service providers staff thanks regards Shivlal
SHIVLAL MALVIYAOctober 2025 - Rated 5 out of 5
File INC-20AI am very much satisfied with their service for INC 20 A. i will recommend them and definitely will keep in mind for any other service.
MANINDER KaurMarch 2025 - Rated 5 out of 5
Close a Private Limited Companyexcellent, i appreciate accountability and transparency in the process
Aditya BansalMarch 2025 - Rated 5 out of 5
Private Limited CompanyLegalwiz is doing its best to give good service to clients.
Sunil ChauhanMarch 2025 - Rated 5 out of 5
Trademark RegistrationRecently got Trade Mark registered
Devendra DklMarch 2025 - Rated 5 out of 5
Trademark RegistrationIt was an amazing experience from the support team. Thank you...
Aswin MMarch 2025 - Rated 5 out of 5
GST RegistrationHad a Seamless Experience in registering for GST. Been associated with them for 5 yrs now, and have done several LLP and GST registrations. Happy with their service, so i keep coming back.
Mr KarthikFebruary 2025
Your growth
Supported by our partners
Leverage best deals offered by the industry leaders and experience mutual growth.
Have questions? Find answers here
Still have a question? Our team is happy to help, at no charge and with no obligation to buy anything.
When should it be signed?
Before the first substantive conversation. An NDA signed after the information has been shared protects nothing that was disclosed before it.
Should it be mutual or one-way?
Mutual where both sides will be sharing something, which is most business discussions. One-way where only you are disclosing, a supplier you are briefing, for instance.
A mutual NDA is often easier to get signed, because the other side is not being asked to accept an obligation you are not accepting.
Can I use the same NDA with everybody?
Yes, with as many parties and as many times as you like. Each time you may need minor changes to the names of the parties and the categories of confidential information.
Does it need stamp paper or a notary?
Neither is mandatory. Stamp paper is advisable, because it helps establish the validity and the existence of the document, and no notary is required.
What can I do if it is breached?
It is a legally binding contract, so a suit lies for the breach. In practice the more useful remedy is an injunction to stop further disclosure, which is why the definition and the term have to be tight enough to be enforced quickly.
From the blog
Related articles
Legal Documents & ContractsWhat is a Website Cookie Policy?
“This website collects your information such as cookies….” How often do you visit a website and this is the first disclaimer that pops up?
6 min read
Legal Documents & ContractsHow to write a return and refund policy for your website?
The digital space of e-commerce is ever-evolving. However, the most important aspect of the success of any online business is the trust factor.
6 min read
Get your third-party NDA drafted
Before the conversation, which is the only time it is worth anything.
Get started- Secure payment
- Prompt support
- Fully online
- No hidden fees