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Non-Disclosure Agreement (Mutual)
A Non-Disclosure Agreement (Mutual) allows you and another party to share confidential information while legally forbidding either party from disclosing that information to any other person or entity. Customisable and ready for use in under 5 minutes.
Get startedDocument Overview
A Non-Disclosure Agreement (Mutual), is a two-way legal document that you can use to disclose confidential information to a receiving party, while legally forbidding either party from disclosing that information to any third parties, be a person or entity. This document is only enforceable if it is signed by you and the other party, therefore it is crucial that it is signed before either party shares any confidential information. If you are seeking to protect the information of one party, see our Non-Disclosure Agreement (One-Way).
Use this Non-Disclosure Agreement (Mutual) if:
- You would like to disclose confidential information in a negotiation and want it not be in the public domain (ie. competitors, successors);
- You would like to put restrictions on the use of confidential information;
- You would like to maintain secrecy of information when working with contractors or potential investors;
- You would access confidential information that belongs to someone else; and
- You would like to protect confidential information including intellectual property, financial projections, customer lists and trade secrets.
What does the Non-Disclosure Agreement (Mutual) cover?
- A description of the confidential information;
- Confidential rights and obligations of the parties;
- Protection of sensitive information;
- Return of confidential information at the end of the agreement;
- Obligations regarding proper use of the information; and
- Circumstances where disclosure is permitted.
What happens if a Non-Disclosure Agreement (Mutual) is breached?
When the time of disclosure is during the time period specified before the termination of this agreement. If both parties have expressed consent prior through signature, the NDA is a binding legal contract that outlines a confidential relationship between the vendor/suppliers and the other party. Therefore, when a breach or violation occurs, you are able to claim rights in dispute against the violating disclosing party. These rights are outlined in the provisions of this agreement - some specifications include; an injunction, damage for loss, court order. The most commonly found right is if an employee breaches an NDA with a business/business owner then the employee can be immediately terminated.
What type of information can be covered in a Non-Disclosure Agreement (Mutual)?
Subject matter in the entire agreement is broad and can be customised to your needs. Common information that can be covered is inclusive of but not exhaustive to; patents, copyrights, financial information, customer lists, trade secrets. You can use this Lawpath template as a base and then customise the document accordingly.
Other names for Non-Disclosure Agreement (Mutual) include:
- NDA;
- Confidentiality Agreement;
- Confidential Disclosure Agreement (CDA);
- Proprietary Information Agreement (PIA);
- Secrecy Agreement (SA);
- Confidentiality Contract; and
- Gag Order.
Other documents you may need:
- Non-Disclosure Agreement (One Way)
- Confidentiality Agreement (Mutual)
- Confidentiality Policy
- Employment Agreement (Full Time)
Further information
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