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You need to preserve confidentiality when you exchange commercially sensitive information with another business. A mutual non disclosure agreement gives protection to both businesses, if both need to share sensitive or confidential information.
When should you have a non disclosure agreement prepared? When you enter into a relationship or partnership, needing to exchange confidential or sensitive information. This will equally reinforce on both parties, the need to preserve confidentiality. It also stipulates the seriousness of non compliance with sensitive data protection.
The perfect time to present a third party, employee or partner with a non disclosure agreement, is before both enter into a partnership or relationship. When you exchange contracts, you must exchange a non disclosure agreement. Having an NDA signed before accessing sensitive data or any confidential information, is paramount!
A mutual non disclosure agreement should contain information that clarifies what is ‘confidential information’, how to protect it and who has access to it. It should also contain information regarding disclosures of confidential information required by law, so that there’s no confusion about what should be disclosed to law officials and what should be kept confidential.
Where do you find a non disclosure agreement? You can inserted them as a clause in a contract. You can also have an NDA as a separate document. For instance, a consultant will present a company or business with a terms of service before initiating work. The company will likely sign the terms of service but equally will present the consultant with their non disclosure agreement.
If your business does not have a non disclosure agreement in place or you would like to make amendments, please get in touch with us. We’re a team of with expertise in business law and we’d like to hear from you. SG
Call us now on 07855 849232 or complete our Online Enquiry and we will be delighted to talk with you about your legal matter.
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