New Jersey Nondisclosure Agreement Concerning Information Furnished to User

State:
Multi-State
Control #:
US-OG-194
Format:
Word; 
Rich Text
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Description

This form is used when an Owner owns and possesses proprietary information which includes, but is not limited to: data, know how, formulas, processes, designs, sketches, photographs, plans, drawings, specifications, samples, reports, customer lists, price lists, studies, findings, formulas, inventions, ideas, etc. User desires to obtain and make use of the Information with the understanding that the trade secret, confidential, and proprietary status of the Information is to be maintained.

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FAQ

The key elements of Non-Disclosure Agreements: Identification of the parties. Definition of what is deemed to be confidential. The scope of the confidentiality obligation by the receiving party.

A nondisclosure agreement (NDA) is a contract between two parties where one, or both, agree to keep some specific information confidential. As with any contract, a nondisclosure agreement can be legally broken or ended.

Violating an NDA can have serious consequences NDAs are legally binding contracts. If an employee has violated an NDA, then the company may take legal action. The most common claims in NDA lawsuits include: Breach of the contract (such as the breach of NDA)

How enforceable are restrictive covenants? The general position is that post-termination restrictive covenants are void on public policy grounds as being in restraint of trade, unless they are being used by the employer to protect a legitimate business interest.

New Jersey's law states that NDAs with the details relating to a discrimination, retaliation, or harassment claim are unenforceable as against public policy.

To be enforceable a restrictive covenant must firstly touch and concern or somehow benefit other land, and the benefit must also have been intended to run with that benefitting land. The covenant cannot merely be a covenant of personal benefit to the original contracting party.

Non-disclosure agreements are used when the obligation to keep information secret is unilateral, while confidentiality agreements are used when multiple parties have to keep the multilateral exchange of secrets confidential.

New Jersey does not have a statute governing restrictive covenants, but the courts will enforce these covenants if they are reasonable in duration, territory and scope. The test for determining whether a covenant is reasonable is whether the covenant: Protects the employer's legitimate business interest.

The most common areas where non-disclosure agreements are determined to be unenforceable are where they are not limited in duration, or scope. Illegality: Courts will refuse to enforce a contract where the underlying purpose is against the law.

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New Jersey Nondisclosure Agreement Concerning Information Furnished to User