What is an NON DISCLOSURE AGREEMENT

An NDA is a confidential non-disclosure agreement, being a legal contract between two parties which outlines confidential material, knowledge, information which parties wish to share with one another for certain purposes, also restrict access to or by third parties. It is an agreement through which the parties agree not to disclose information covered by the agreement. This creates a confidential relationship between the parties. It is often signed when two companies, individuals, or other entities (partnership, society etc.) are considering doing business together.

Advantages of Non DISCLOSURE agreement

Protection of Information: An NDA agreement allows information which can and cannot be disclosed to others, that each party's obligations are in regard to confidentiality, and how it shall dealt with. In this way it provides protection of information.

A well-drafted NDA outlines the consequences for the ones who breach the NDA, and which are likely to include a hefty monetary fine.

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