Nda Contracts Definition
An NDA, or non-disclosure agreement, is a contract between two parties in which one party agrees not to disclose confidential information to the other party. This agreement is typically used when one party has information that could be harmful to the other party if it were to be made public.
For example, imagine that you are a small business owner who is thinking about entering into a partnership with another company. Before you discuss any sensitive information with the other company, they may ask you to sign an NDA. This way, if you decide not to enter into a partnership with them, they can rest assured that you will not share any of their confidential information with anyone else.
NDAs are also commonly used in employment agreements. An employer may ask their employees to sign an NDA in order to protect trade secrets or other sensitive information. By signing an NDA, the employee agrees not to share this information with anyone outside of the company.
If you are ever asked to sign an NDA, be sure to read it carefully and make sure that you understand all of the terms before agreeing to anything. If you have any questions about an NDA, consult with an attorney who specializes in contract law.
