Free Confidentiality Agreement Template

Use a Confidentiality Agreement form to protect your personal or business information private. Use our template to create a detailed and legally valid document in minutes.

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Last Update June 12th, 2024

Also Known As

Non-Disclosure Agreement (NDA)

Confidential Disclosure Agreement

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What Is a Confidentiality Agreement

If you need to guarantee that another party keeps certain information private, you would use a Confidentiality Agreement.

This contract sets the amount of time certain information must be kept private and what it can be used for, which can help ensure that information will remain confidential, normally related to :

  • Business
  • Personal matters

Depending on what you would like to be kept private and whose information is disclosed, you can choose to create an agreement that contains:

  • Only 1 party’s information
  • Both parties’ information

Use our simple Confidentiality Agreement template to help you create a document that protects your private details.

Confidentiality Agreement Sample

Not sure what exactly should be included in a Confidentiality Agreement?

If that’s the case, you can review our example below, to ensure you know how to structure your document.

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LawDistrict's Confidentiality Agreement Template Sample

When to Use a Confidentiality Agreement

Using a Confidentiality Agreement is critical whenever you plan to share classified information. Situations like this can come up at any time.

Typically, it’s used as an important business document when you need to share confidential details of your company with other parties.

Some circumstances when using this agreement can include:

  • During and after an audit
  • After creating a new product or invention
  • Giving an employee a raise
  • When signing new employees to an employment contract
  • Hiring freelancers
  • Interviewing applicants
  • Creating a partnership with another business or company

If the other party in the contract releases any of the confidential details, they will face legal consequences.

That is why, by using this document in these cases, you can prevent competitors from getting your business details.

Confidentiality Agreement Protections

Not sure what type of information a Confidentiality Agreement will keep from getting into the wrong hands?

By creating this type of contract, you can make sure the following stays private:

  • Details regarding finances: Information regarding your taxes, profits, and losses would stay private.
  • Intellectual property: Property such as copyrights and patents will remain confidential.
  • Codes: Any original code can be included in a Confidentiality Agreement
  • Future products: Plans for a future product can stay in-house.
  • Marketing plans: Having your marketing ideas get out means they could be taken from another company, this agreement would prevent that from happening.

What to Include in a Confidentiality Agreement

When drafting a Confidentiality Agreement, it's crucial to ensure that all essential elements are included to protect sensitive information effectively. Here are the key components to mention:

  1. Each party’s details: Clearly state the full name and contact information of all parties involved in the agreement. This typically includes the disclosing party and the receiving party.
  2. Definition of confidential information: Specify what constitutes confidential information in this context. This could range from trade secrets, business strategies, and client information, to proprietary processes or technology.
  3. Obligations and duties of the receiving party: Outline the responsibilities of the party that must keep information private, regarding the handling of confidential information. This may include a non-compete or non-solicitation clause.
  4. Duration of the agreement: Set the period for which the confidentiality must be maintained. This could be an indefinite period or a specific timeframe.
  5. Exclusions: Clearly state any information that is not considered confidential. This often involves information received from another source, or information independently developed without using confidential information.
  6. Consequences of a violation: Describe the penalties or legal actions that may be taken if the confidentiality agreement is breached.
  7. Signatures: Your signature along with the party’s must be added and dated.

When adding this information to your agreement, it’s key to make certain that the document follows your state’s laws

You can take advantage of our Confidentiality Agreement template to help you draft a comprehensive and clear document that will aid in the protection of your sensitive data.

Other Business Documents

When dealing with other companies and employees, it’s essential to have all the correct business documents.

Use the following documents to protect your interests: 

Confidentiality Agreement FAQs

To further understand how to use a Confidentiality Agreement, review the answers to the following frequently asked questions.

Should I Sign a Confidentiality Agreement?

Signing a Confidentiality Agreement is crucial as it formalizes the protection of sensitive information and makes the document legally binding.

By signing, you and the other party agree to legally uphold the confidentiality of the specified information, which helps in maintaining trust and security in professional relationships. However, ensure you fully understand and agree with all terms before signing.

How Long Does a Confidentiality Agreement Last?

The duration of your confidentiality agreement typically depends on you and what is being kept private. Normally, these agreements last between 1 and 5 years, but they can be set for any duration agreed upon by the parties involved.

In some cases, the agreement may specify that the obligation to maintain confidentiality continues indefinitely, especially for highly sensitive or proprietary information.

Is a Non-Disclosure Agreement the Same as a Confidentiality Agreement?

While both contracts are very similar and often used interchangeably, an NDA is typically more specific to situations where only one party is disclosing confidential information.

A Confidentiality Agreement, on the other hand, can have more broad terms, covering general confidentiality obligations in various contexts, including employment or ongoing business relationships. 

However, these distinctions can vary, and in many cases, the terms are more or less the same.

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LawDistrict's Confidentiality Agreement Template Sample

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