A Non-Disclosure Agreement, most commonly known as an “NDA”, is a legal document that works as a contract between two parties. As the name suggests, the contract explicitly prohibits one party from sharing, revealing or even releasing secret information about the other party. Secret information within the terms of the contract might include trade secrets or confidential business practices. A Non-Disclosure agreement is also commonly referred to as a confidentiality agreement or keep-secret agreement.
To fully understand what is a non-disclosure agreement, let’s take a look at it in very simple terms. Essentially, a Non-Disclosure Agreement is a contract between two parties where one party agrees not to share or reveal any secrets about the other party with any third-party. Additionally, the party also agrees to certain damages and fines if it violates the terms of the Non-Disclosure agreement.
In a Non-Disclosure Agreement template, the party that has secrets that should not be shared or revealed is referred to as the “Disclosing Party”, while the party that is agrees not to share or reveal any secrets about the Disclosing Party is referred to as the “Receiving Party”.
Typically, a Non-Disclosure Agreement is always accompanied with a Non-Compete Agreement, or a non-compete clause within the confidentiality agreement. This prevents the Receiving party from setting up a business based off of the secrets and competing directed with the Disclosing Party.
There are many different types of non-disclosure agreements found today, as each confidentiality agreement is heavily customized according to the parties involved, the industry in which they function, and the secrets that are supposed to be kept, well, secret.
Here are some common types of NDAs:
Any Non-Disclosure Agreement has to be customized depending on the needs and requirements of the both the Disclosing and Receiving parties. As a legal document, it defines the damages and penalties in case of a violation, so all confidentiality agreements must be thoroughly examined before signing.
Here below, we’re providing a free non-disclosure agreement template for download. This simple NDA outlines the basic terms & conditions that you’d need for a Non-Disclosure Agreement, but being a PDF Template, you can always edit the contents and modify the language using any PDF Editor such as PDF Expert for Mac.
There are two main types of basic NDAs — the unilateral non-disclosure agreement and the mutual non-disclosure agreement. A unilateral NDA or a one-way NDA is a type of non-disclosure agreement where only one party is disclosing confidential information while the other party is receiving confidential information, whereas as mutual NDA or two-way NDA is where both the parties are disclosing confidential information to one another. Examples of a mutual non-disclosure agreements are when two companies are working with each other on a common product, or if one company contracts another company for a specific project.
The Non Disclosure Agreement Form Template shown below is a confidentiality agreement template PDF that you can download and edit according to your needs. You can customize the PDF and add your own details to it using PDF Expert — the best PDF Editor app for iOS and Mac. Download PDF Expert for Free to get started with this Free PDF NDA template.