Confidentiality agreements, also called non-disclosure agreements in employment contexts, obligate employees to protect confidential business information. These agreements supplement implied duties of confidentiality and provide clearer contractual protection.
What They Cover
Typical confidential information includes trade secrets, customer lists, pricing strategies, business plans, technical data, financial information, and proprietary processes. Agreements should define protected information clearly while recognizing that employees take general skills and knowledge with them.
Duration
Confidentiality obligations typically survive employment termination. Trade secrets may be protected indefinitely while other confidential information might have time-limited protection. Duration should reflect how long information remains valuable and sensitive.
Enforcement
Breaches may lead to injunctions stopping further disclosure, damages for harm caused, and potentially account of profits made through misuse. Employers should implement practical protections alongside legal agreements, including access controls and information classification.