Why a Confidential Agreement Form / NDA is Vital
A confidential agreement form can avoid a potential disaster in business dealings. Without such forms of agreement, also sometimes referred to as an NDA, short for non disclosure agreement, a company is vulnerable to losing profits, important business assets, and customers to competitors. A confidentiality agreement template can be used along with a form for employee, independent contractor, or consultant hiring. Whenever sensitive information, such as product design, marketing, patents, customer lists, etc. are involved, it's crucial to protect your business interests by having a properly drafted confidentiality non disclosure agreement form. Failure to protect your competitive edge with a confidentiality non disclosure agreement form can result in misuse of information by an employee or others. To give you an understanding of how an NDA template is used, we'll outline some of the basic terms a company agreement form should include.
Basic Terms in a Non Compete and Non Disclosure Sample Form
Definition of confidential information - A nondisclosure and confidentiality agreement form needs to clearly define the information that will be covered. The manner of acquiring the information from the company should also be described. The confidentiality template should also clarify the information excluded from the definition of confidential information, such as information already known to the person who will have a duty of nondisclosure.
Confidentiality - A non disclosure agreement template must describe the duty to keep the information described from being disclosed. There may be certain exceptions described in the contract template, such as when the information is required to comply with legal requests for information, or as part of regulatory procedures.
Term - NDA forms and non compete forms need to be limited in scope. For example, forms for employee noncompete agreements need to specify a time and geographic limit so that they're not unenforceable. If a contract template is deemed to unfairly prevent a former employee from pursuing a living, a court may invalidate it.
Return or destruction - The sample of an agreement form should specify what types of items will be required to be returned or destroyed after use, and the timeframe for doing so. An NDA form will also specify the permitted uses of the information or materials provided.
Many other details are covered in the professionally drafted confidentiality agreement forms offered by US Legal Forms. The terms above are meant to describe only the basic terms covered. Free previews of an NDA sample are available before download.