In this competitive world of business, you company's information is your key weapon. An employee non-disclosure agreement can enable you to close in your company's vital information. Its primary goal is to discourage employees from disclosing your organization's secrets to other people or businesses. Here is an employee NDA template.
Sample employee NDA template
This agreement is entered by the employer (company's name) and employee (employee's name) regarding the starting of the employee's employment with the company and the compensation that the employee will receive. The organization agrees as follows:
In carrying out employment duties, the employee will be exposed to company's vital secrets, which are economically valuable to the company and should not be disclosed without its permission. They may include:
- Information regarding the company's services and products such as formulas, designs, product development and inventions among others.
- Information about the business including sales information unpublished financial data, marketing methods, business plans and the like.
- Employee related information such as salaries, skills, weaknesses, and strengths.
- Information about customers and suppliers.
- Any other information that has not been exposed to the public.
Nondisclosure of company's trade secrets
The employee should keep the trade secrets of the company, regardless of whether they develop them or not. They will not disclose such information unless they have written permission from the company. However, they will not be held liable if:
- They had the information, and there was no obligation to keep it confidential.
- The information leaks to the public without the employee's help.
- The information becomes legally accessible to the employee from other sources other than the organization.
Confidential information of other people
The employee will not disclose to the organization trade secrets that belong to another company or individual.
Return of materials
Once the employment period with the company ends, the employee is mandated to deliver any materials they might have that belong to the firm. They may include media materials, software programs, records, original and copies of various documents.
Confidentiality obligations extend beyond employment
The employee will maintain their confidentiality obligation, even when they are not employees of the organization.
Other general provisions
- If a court of law finds any section of the agreement is invalid, the remaining part will have to be interpreted.
- The agreement cannot change unless if signed by both parties.
- The employee should offer the company indemnity if they breach the contract.
- Where there is a disagreement of this employee non- disclosure agreement, the other party should collect attorney fees and charges from the other.
- The NDA is governed by the State of………..
Name of the employee:
Name of the signing officer: