Similarly, the company may have prospective investors and vendors/suppliers sign NDAs. For example, when a company is looking to sell itself, it may have any prospective buyer sign an NDA to protect any confidential information that the company may disclose during sale negotiations. And while NDAs are known by many names - including confidentiality agreements (CAs), confidential disclosure agreements (CDAs), and proprietary information agreements (PIAs) - they typically have one very important thing in common: once an individual signs an NDA, they cannot discuss any information protected by the agreement with any non-authorized party.īusinesses use NDAs in a variety of situations. Non-disclosure agreements, or NDAs as they are sometimes called, are legally enforceable agreements between parties that are used to ensure that certain information will remain confidential.
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