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Whistleblowing with an NDA in place Along with generally being unenforceable, whistleblower rights are available despite of contractual obligations. Protected activities include reporting sexual harassment, illegal behavior at work, and taking part in formal legal processes as a witness.

Generally speaking, no type of NDA can prohibit a person from reporting a crime. Courts have found that an NDA that attempts to bar someone from reporting a crime is against public policy.

Since NDAs are civil contracts, breaking one isn't technically a crime. However, it could come with severe financial penalties. Violating an NDA leaves you open to lawsuits from your employer, and you could be required to pay financial damages and possibly associated legal costs.

Non-Disclosure agreements that are properly drafted and are intended to protect specific information for a reasonable and identified duration and purpose are more likely to hold up in court than those that are overly vague and intractable.

An NDA should be reasonable and specific about what's considered confidential and non-confidential. Language that is too broad, unreasonable or onerous can void an agreement. Courts will also challenge or invalidate agreements that are overly expansive, oppressive or try to cover non-confidential information.

Public records, including SEC filings or company addresses, are not covered by these confidentiality agreements. The courts can also interpret the scope of an NDA in ways that one or more participants may not have initially expected.

There are three types of NDAs: unilateral, bilateral, and multilateral. Read on to learn when you should use each type. You'll also learn how to use a contract management tool like Ironclad to draft and manage them.