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Non-Disclosure Agreement (NDA) Template

Free NDA template for protecting confidential business information. Covers mutual and unilateral confidentiality obligations, exclusions, and remedies.

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Non-Disclosure Agreement (NDA)


1. Parties

This Non-Disclosure Agreement ("Agreement") is entered into as of [Date] by and between [Disclosing Party Name], with a principal place of business at [Address] ("Disclosing Party"), and [Receiving Party Name], with a principal place of business at [Address] ("Receiving Party"). Collectively referred to as the "Parties".

2. Definition of Confidential Information

"Confidential Information" means any non-public information disclosed by the Disclosing Party to the Receiving Party, whether orally, in writing, or in any other form, including but not limited to: trade secrets, business plans, financial data, customer lists, product designs, source code, marketing strategies, and any other proprietary information marked as "Confidential" or that a reasonable person would understand to be confidential given the nature of the information and the circumstances of disclosure.

3. Obligations of the Receiving Party

The Receiving Party agrees to: (a) hold all Confidential Information in strict confidence; (b) not disclose Confidential Information to any third party without the prior written consent of the Disclosing Party; (c) use the Confidential Information solely for the purpose of evaluating or pursuing a business relationship between the Parties; (d) limit access to Confidential Information to those employees, agents, or advisors who have a need to know and who are bound by obligations of confidentiality no less restrictive than those contained herein.

4. Exclusions from Confidential Information

Confidential Information does not include information that: (a) is or becomes publicly available through no fault of the Receiving Party; (b) was already in the Receiving Party's possession prior to disclosure, as evidenced by written records; (c) is independently developed by the Receiving Party without use of the Confidential Information; (d) is rightfully received from a third party without restriction on disclosure; (e) is required to be disclosed by law or court order, provided the Receiving Party gives prompt written notice to the Disclosing Party.

5. Term and Termination

This Agreement shall remain in effect for a period of [2/3/5] years from the date of execution. Either Party may terminate this Agreement upon thirty (30) days' written notice. The obligations of confidentiality shall survive termination for a period of [2] years following the date of termination or expiration.

6. Remedies

The Receiving Party acknowledges that any breach of this Agreement may cause irreparable harm to the Disclosing Party for which monetary damages may be inadequate. Accordingly, the Disclosing Party shall be entitled to seek equitable relief, including injunction and specific performance, in addition to all other remedies available at law or in equity.

Signature — Party A

Signature — Party B

Tips for Using This Template

  • Use a mutual NDA when both parties will share confidential information; use a unilateral NDA when only one party discloses.
  • Always define what constitutes Confidential Information clearly to avoid disputes later.
  • Set a reasonable confidentiality period - 2 to 5 years is standard for most business relationships.
  • Include carve-outs for information that becomes public or is independently developed.

Frequently Asked Questions

Is this NDA template legally binding?
Yes, once signed by both parties, an NDA is a legally binding contract. However, enforceability depends on reasonable terms and proper execution. We recommend having a lawyer review the agreement for your specific jurisdiction.
What is the difference between a mutual and unilateral NDA?
A mutual NDA protects both parties' confidential information (both are disclosing and receiving). A unilateral NDA protects only one party's information. This template can be adapted for either use case.
How long should an NDA last?
Most NDAs last between 2 to 5 years. Trade secrets may warrant indefinite protection. The term should match the sensitivity and shelf life of the information being protected.
Do I need a lawyer to sign an NDA?
While not legally required, consulting a lawyer is advisable for high-value deals or when protecting critical intellectual property. For routine business discussions, a well-drafted template is generally sufficient.

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Disclaimer: This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction. Consult a qualified legal professional before using this document for any binding agreement. ContractClaw Sign is not a law firm and does not provide legal services.

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