How to Make a Confidentiality Contract

Confidentiality contracts can protect a business during product development or launch.

A confidentiality contract is also known as a confidentiality agreement, or a non-disclosure agreement. This type of contract is often used between employers and employees to prohibit employees from disclosing proprietary information about the company, its practices, or its employees. Confidentiality contracts may also be used to guard confidential information or trade secrets in any other type of business interaction or partnership. A confidentiality contract is fairly simple to draft yourself as long as you know what information and terms to include.

Instructions

1. Type your confidentiality contract to ensure it is legible and professional, and separate each section with a paragraph break. Include the date you are entering into the agreement and formally identify which parties the document applies to. The disclosing party is the person or company disclosing proprietary information, and the receiving party is the person or company receiving the information in trust.

2. Define the information or trade secrets meant to be protected by the terms of the contract. You may specifically identify the information in the contract, or you may refer to all confidential information such as business practices, contact information, formulas, software codes, research and development information and private business correspondence.

3. Notate how long the agreement should be in effect. Some confidentiality agreements have a set expiration date or specific time period during which they are effective. This may not provide your or your company with adequate protection. You might wish to indicate that the agreement is to remain in effect indefinitely, or for as long as the information is considered proprietary.

4. Contact a business attorney or legal document drafting service for assistance if you have any questions or concerns about creating your confidentiality contract. Indicate any important details you wish to include in your non-disclosure agreement and request additional advice if necessary. An experienced lawyer or legal document service provider can create your confidentiality contract quickly while ensuring the document language and format meets all requirements to be legally enforceable now and in the future. An attorney can help you notarize the agreement and assist you with the pursuit of damages if you believe the contract has been breached.

References

• Grenier Law Offices, PC: When Do I Need a Confidentiality Agreement?
• NDAS For Free: Create Your Nondisclosure Agreement
• WhichDraft.com: Sample Confidentiality Agreement
• LawDepot.com: Confidentiality / Non-Disclosure Agreement