Non-Disclosure Agreement (NDA)

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Non-Disclosure Agreement (NDA)

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Drafting NDA

An NDA is a confidentiality agreement wherein the parties involved agree not to disclose the “Confidential Information” covered by the Agreement. It is generally signed or executed between parties who are planning to work with each other or have started working with each other and shall be sharing confidential information during a transaction. Hence, it is commonly used by companies, individuals, employers and other entities to protect their trade secrets and other critical work details. An NDA is also known as a confidentiality agreement, proprietary information agreement, or secrecy agreement. NDA is usually of three types:

1. Unilateral NDA

It involves two parties, but only one party is restricting the other party from further disclosure of their information which is termed as “confidential information.”

2. Bilateral NDA

It is commonly known as Mutual NDA. It involves two parties, and both parties restrict each other from further dissemination of the information to the third party.

3. Multilateral NDA

It involves three or more parties, out of which at least one of the parties discloses the information to other parties and intends to protect the same from further dissemination. Instead of having two-three unilateral or bilateral NDAs, one can have a single Multilateral NDA.

The key elements of Non-Disclosure Agreements:

  • Definition of confidential information
  • Scope of confidentiality obligations
  • Exceptional circumstance in which disclosure is permitted
  • Term of the Agreement
  • Arbitration clause
  • Governing Law and Jurisdiction

Drafting of NDA is simple with LegalWiz.in as it has experienced lawyers who ensure the highest customer satisfaction and timely delivery of services. This entire process is managed online, with regular communication and assistance by the professionals available throughout. We have clients in all major cities of India including Mumbai, Delhi, Bangalore, Pune, Ahmedabad, Hyderabad, and more. Our services have equally relevant reach within smaller cities and towns in the country.

Advantages of NDA

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Explore FAQs for NDA

Frequently Asked Questions

NDA helps in protecting sensitive information of one’s business, dissemination of which to the competitors may cause damage to the business. Apart from that NDA helps in protecting the new invention which may be patentable.

An NDA needs not to be mandatorily notarized by a public notary, but stamp duty has to be paid on the same. Stamp duty rates can be checked in the Schedule of the applicable Stamp Act as it differs from state to state.

Confidential information may include any information which a business does not want to go public. It may include tangible as well as intangible information.
A non disclosure agreement may include but is not limited to any information stored in the form of documents or mails or in any other way related to the business’s structure, operating procedures, intellectual property, trade secrets, client lists, products and services and any other important information.

In case the party to the NDA breaches the confidentiality obligations, then the aggrieved party can take legal action and ask for compensation as prescribed under the NDA.

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Non-Disclosure Agreement (NDA)

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