ALL >> Legal >> View Article
Non-disclosure Agreement (nda)
Total Articles: 5
A Non-Disclosure Agreement is a contract which enables the parties to the contract from sharing any piece of confidential information or knowledge shared between them for the purposes of business or any other kind of access but restricts such sharing to any third party to such contract.
There are two types of NDA in practise:
Ø One-way NDA – Casts the obligation of non-disclosure of information on one party only;
Ø Two-way or Mutual NDA – Obligation on all the parties to the NDA.
Terms & Conditions of one-way and two-way NDAs are same for both with the only difference that in the latter, the obligations apply to all the parties to the contract.
General Terms & Conditions required in a NDA
· Confidential Information and its scope to be defined;
· Obligation of Non-Disclosure of the information to any third party without the permission of the party sharing such information;
· Application of NDA to apply to all the employees and directors of the recipient company;
· Exclusions/Exceptions to NDA for sharing the information to a third party;
· Notice of any unauthorized disclosure or loss is to be sent by the legal recipient of such information to the other party;
· Use of Confidential Information is to be “As is” and it is not be construed as a license or assignment of such information or any intellectual property. Moreover, the recipient is prevented from selling or registering such confidential information without prior authorization of the other party;
· No reproduction of such information without the authorization of the providing party;
· Time duration of the contract;
· Action taken upon breach of the contract and Injunctive Relief;
· Governing law to be mentioned;
· Dispute Resolution mechanism to be stated;
· No Assignment to be carried out by the recipient without authorization of the other party.
Statutory Law References
Sec. 2(h) of the Indian Contract Act, 1872.
Art. 39.2 of WTO Agreement on TRIPS.
· John Richard Brady and Ors v. Chemical Process Equipments P. Ltd. and Anr, AIR 1987 Delhi 372.
· Mr. Anil Gupta and Anr. v. Mr. Kunal Dasgupta and Ors, 97 (2002) DLT 257.
Important Do(s) & Dont(s)
· Lawyer consultation or online legal advice is preferable to remove any illegalities and ambiguities;
· The information is to be protected for eternity, even after the expiration of the contract unless authorized by the disclosing party;
· Insert a stringent penalty clause;
· It is preferable to have a two-way NDA as it keeps the information flow and protection balanced.
Legal Articles1. Divorce Lawyer Mumbai
Author: Mayur Pandya
2. 10 Ways How Rera Will Delight The Home Buyers - A Fresher Life Beckons At The Hemisphere
Author: The Hemisphere
3. Indications You Need A Personal Injury Lawyer
Author: Daniel Estes
4. 7 Habits Of A Successful Entrepreneur That The Startup Owners Should Follow
Author: Shruti Kakkar
5. Court Marriage Mumbai
Author: Mayur Pandya
6. Detective Services
Author: Mark Grover
7. Traffic Ticket Lawyer Houston Ensures Your Traffic Ticket Dismissal In The Court
8. Private Detective London – A Private Investigator London Can Perform Discreet And Fast Background Ch
Author: Gary Lee
9. Chapter 13 Bankruptcy Lawyers In Md- Protecting Debitor And Creditor Instantaneously
10. Search Law Firms, Top Advocates, Lawyers
Author: Advacto legal Solutions
11. The Houston Criminal Defense Attorneys Can Help You From The Legal Charges
12. The Experience Of Working With A Work Injury Lawyer In Pennsylvania
Author: Ryan Harvey
13. What Can Springfield Missouri Family Lawyers In Greene County Do For You?
Author: Kirk C. Stange, Esq.
14. Denton Child Custody Attorney: A Perfect And Healthy Solution
Author: Mark N John
15. 15 Common Myths About Child Custody
Author: V. Wayne Ward