Non Disclosure Agreements
By OPLawSocialMedia on Business & Business Attorney
In this video, Roy Oppenheim from Oppenheim Law discusses non-disclosure agreements (NDAs), also known as confidentiality agreements. These contracts are used in employment and business contexts to prevent the disclosure of confidential information to unauthorized parties.
In employment scenarios, NDAs can restrict employees from sharing confidential information or using it to compete against the company. When it comes to business deals, NDAs ensure that prospective buyers can’t use acquired information to compete against the seller.
For instance, if someone is interested in buying an ice cream shop for its unique recipes, an NDA can prevent them from using these recipes in their existing business.
Oppenheim emphasizes the importance of having strong NDAs, which can be negotiated. He recommends seeking legal assistance, particularly for large, complex transactions, to ensure all details are addressed before engaging in serious discussions.
Hi. Roy Oppenheim for Oppenheim Law. I want to discuss today. NDAs, otherwise known as non-disclosure agreements. And they’re used in various contexts. In the employment context, they’re really confidentiality agreements where you agree that you’re not going to divulge confidential information to anyone other than someone in the company, or if you’re forced by court order, that you’re not gonna use that information to go across the street and open another company.
While you may not have signed a non-compete, you’ve certainly signed the confidentiality or an NDA that you can’t use certain information. The same holds true in business when someone is evaluating a business deal, a new real estate project, or elicit, maybe concerning to acquire the business of someone else. The two buyers are gonna sign NDAs so that you can’t use that information to then compete against them.
Later on, you’re going to, you know, you own an ice cream shop and you wanna buy the ice cream shop across the street and they have special recipes. You can’t go across the street, say, I’m gonna buy you, get their recipes, and then use ’em in your shop. You would’ve an NDA and you’d be in trouble for violating that NDA. So NDAs, and that’s a very simple example obviously, but NDAs are used in such a way that someone can’t use information that you provide to them to your competitive disadvantage.
And so to make sure that that doesn’t happen, you need to have solid NDAs. We’ve been doing ’em for years and they do get negotiated and we’d be glad to help you, especially if you’re involved with some sophisticated, large transaction. You really need to make sure that everything’s buttoned down before you engage in serious conversations. Thank you. Roy Oppenheim “From the Trenches.”