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What is a confidentiality agreement?

When a Nevada resident is asked to hold a piece of information in confidence that generally means that they are expected to keep the information a secret from third parties. Information, particularly sensitive information, can be detrimental to individuals' reputations, livelihoods and families. The same holds true for businesses, and when businesses wish to keep particular information from spreading to parties that may use it against them, they may ask those who know the information to enter into confidentiality agreements.

Confidentiality agreements are also called non-disclosure agreements. The parties to these important business agreements generally include the party with information to protect and the party who must protect the dissemination of that information to others. Confidentiality or non-disclosure agreements have several elements, one of which is the identification of the information that must be protected.

Additionally, confidentiality agreements will explain how and when the protected information may be used by the parties. For example, such an agreement may permit a party to discuss the protected information with others identified in the agreement, but may prohibit its sharing with anyone else. There can be a range of penalties applied to individuals who violate confidentiality agreements and when such violations occur business litigation may result.

Businesses can suffer significant financial harm when protected information, such as trade secrets, are shared publicly or with wide audiences. Confidentiality agreements aim to stop this from happening and can help businesses seek damages for their losses when information is leaked. When violations of confidentiality agreements happen, businesses can turn to their trusted business litigation.

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Law Offices of P. Sterling Kerr, P.C.
2450 Saint Rose Parkway Suite 120
Henderson, NV 89074

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