Non-Disclosure Agreement

What is Non-Disclosure Agreement?

A non-disclosure agreement (NDA) is a legally binding contract that establishes a confidential relationship between parties. In the employment context, NDAs are used to protect sensitive business information such as trade secrets, client lists, proprietary processes, and strategic plans. Employees who sign an NDA agree not to disclose specified confidential information during or after their employment. NDAs can be mutual or one-sided and typically define what constitutes confidential information, the obligations of the receiving party, the duration of the agreement, and the consequences of breach.