NDAs can protect your business in spite of its infamous misuse

This legal document has been in the news lately so much and some of it’s use has been controversial. Trump has used one to gag porn star and producer Stormy Daniels and makes individuals working with him, sign.  Harvey Weinstein had used it in an attempt to systematically silence his alleged victims. But this legal tool also helps companies to protect themselves from disgruntled employees, to keep secret formulas, trade secrets, intellectual property or other confidential information.

A non-disclosure agreement is basically a legal contract which binds at least two parties with the information one of them at least wants to restrict to third parties.

There are pretty benign and common forms of non-disclosure agreements that we use in our regular lives such a doctor-patient confidentiality forms and attorney-client privilege, among others.  All business and agents that deal with private information use forms of it.

Companies use it so protect proprietary information, especially in the high tech industry.

However, there are important things we need to know about the NDA that may invalidate some of those that make headline news.

Pretty much as contracts, NDA cannot be enforced to cover felonies and NDAs do not impose a legal barrier to pressing charges if a crime has been committed.

There are five important elements in a nondisclosure agreement:

  • definition of confidential information
  • exclusions from confidential information
  • obligations of receiving party
  • time periods, and
  • other details and provisions.

If you or your business needs an NDA, we can help to write one that protects your assets or negotiate one you are engaging with.

Do not let the bad actors or actions of others prevent you from using this important legal tool.

Contact Marcos E. Garciaacosta Esq. (602) 317-0035 for more information about how to put this tools to good your for you.

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