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Create a legally binding Non-Disclosure Agreement (NDA) in minutes. Tailored for Indian businesses, startups, and professionals. Download in PDF or Word – no legal jargon, 100% enforceable in India with Legal Support.

What is Non-Disclosure Agreement (NDA)?

NDA stands for Non-Disclosure Agreement, a legally binding contract ensuring that sensitive information between two parties remains confidential. It is commonly used when businesses collaborate, share ideas, or discuss projects involving proprietary data. By signing an NDA, both parties agree not to disclose confidential information to anyone else without permission. 

It builds trust between parties and prevents unauthorized access to sensitive information. Without an NDA, confidential business details could be leaked, leading to financial losses or legal disputes. NDAs are especially useful when hiring employees, working with vendors, or entering partnerships where information security is critical. 

The objective of an NDA 

  1. Protect sensitive business information from being misused or disclosed. 
  2. Establish legal consequences in case of a breach of confidentiality. 
  3. Ensure trust between parties when sharing proprietary data. 
  4. Facilitate secure collaborations with employees, partners, or investors

Types of Non-Disclosure Agreements Offered by DigiLawyer

  1. Employment NDA - Give this to your employees so they don’t share your business secrets with outsiders during or after their job.  
  2. Partnership Admission NDA - Before you bring in a new partner, ask them to sign this NDA to keep your plans, ideas, and strategies private.  
  3. Invention NDA - If you create a new idea, design, or product, this NDA helps you stop others from copying or misusing it.  
  4. Unilateral NDA Use this when only you are sharing confidential information, and the other person agrees to keep it secret.  
  5. Mutual NDA - If both you and another party want to share private information with each other, use this NDA to protect both sides. 
  6. Business Plan NDA - Before you share your business plans with investors or consultants, ask them to sign this NDA so your ideas stay protected.  
  7. Purchase or Sale NDA - Use this NDA when buying or selling a business. It keeps details like financials or customer lists confidential during the process.  
  8. Independent Contractor NDA - If you're hiring an outside contractor, this NDA makes sure they don’t use or share your information beyond the job. 

Benefits of a Non-Disclosure Agreement (NDA) 

✔️ Protects Sensitive Business Information - An NDA helps protect your business secrets—like client lists, money details, or new ideas so others can’t use or share them without your permission.

✔️ Builds Trust in Business Relationships - When you sign an NDA with someone (like an employee, freelancer, or partner), it shows that both sides are serious and professional. It helps build trust. 

✔️ Prevents Misuse of Information - The person who signs the NDA promises to use your information only for the work they’re doing with you not for their own benefit or to give to a competitor.

✔️ Offers Legal Protection in Case of Breach - If someone leaks or misuses your information, you can take legal action under Indian law like asking for money, ending the contract, or going to arbitration.

✔️ Saves Time & Money on Future Disputes - A clear NDA helps avoid misunderstandings later. This saves time, legal fees, and the stress of dealing with arguments or court cases. 

✔️ Boosts Business Value - When you use NDAs, it shows that you take your business and its privacy seriously. This can impress investors, clients, and partners. 

✔️ Encourages Open Conversations - With an NDA in place, you can talk openly about your ideas, plans, or strategies without worrying that someone will steal or leak them.

Who Are the Parties Involved in an NDA?

NDA involves 2 parties, depending on the nature of the agreement

1. Disclosing Party

Relation: The disclosing party is the entity or individual sharing confidential information. This could be a company, entrepreneur, or organization looking to protect sensitive business data.

Scope of Work: They provide proprietary information, business plans, client lists, trade secrets, or intellectual property to the receiving party for a specific purpose, such as business collaboration, partnerships, or employment.

2. Receiving Party

Relation: The receiving party is the entity or individual gaining access to the disclosed information. They could be a business partner, vendor, investor, or employee.

Scope of Work: Their responsibility is to handle confidential information responsibly, ensuring it is not disclosed or misused beyond the agreed terms.

Required Information from both the Parties

  • Signature - Authorized signatory (CEO, Director, or designated representative)
  • Registered Address - Official business address or personal address (if an individual)

What should be included in Non-Disclosure Agreement

1. Confidential Information 

Clearly define what counts as “confidential.” This can include business plans, client lists, financial data, source code, designs, or even verbal communication. 

Example: All financial reports, marketing strategies, and product roadmaps discussed are considered confidential. 

2. Parties Involved 

Mention who is sharing and who is receiving the information. Identify them by name, role, and official addresses. 

Example: Disclosing Party and Receiving Party | Party A and Party B 

3. Purpose of Disclosure 

State the reason for sharing the information—whether it's for partnership talks, product development, hiring, or investment. 

Example: To evaluate a potential investment opportunity between the parties. 

4. Dispute Resolution

If any problems or disagreements come up, this section explains how both parties will solve them. It may include steps like talking it out, using a mediator, or going for arbitration instead of going to court. 

5. Disclosure of Confidentiality 

This part of the NDA clearly explains why you’re sharing private information and who is allowed to see it. It makes sure the information is only used for the right reasons and not shared with anyone else without permission. 

Real-World Examples of NDAs in India 

1. IT Startup in Bengaluru (Employee NDA) 

Use Case: 

An early-stage SaaS startup in Bengaluru hires a full-stack developer to work on a unique AI-based hotel management platform. Since the developer will access the company’s codebase, business logic, and confidential roadmap, the company asks them to sign an Employee NDA. 

Why It Matters: 

The NDA ensures that the developer doesn’t leak sensitive product details to a competitor or reuse the same code after leaving the company. If they breach it, the company has legal grounds to take action under Indian Contract Law.  

Outcome: 

The NDA protects the startup’s IP, builds legal trust, and sets professional boundaries from Day 1. 

Why Choose DigiLawyer to Create a Non-Disclosure Agreement in India? 

DigiLawyer drafts legally verified Unilateral Agreements to protect sensitive business information during collaborations, partnerships, or negotiations. Our templates cover key aspects like confidentiality, duration, and breach consequences, ensuring both parties are equally bound. 

We ensure compliance with the Indian Contract Act, 1872, and the Arbitration and Conciliation Act, 1996, providing a solid legal foundation. Whether you need a standard template or customized clauses for non-compete or non-solicitation, we’ve got you covered.

Full Customization - Tailor clauses to fit your specific business needs.

Cost-Effective - Affordable pricing for startups, SMEs, and enterprises.

Legally Verified - Compliant with Indian Contract Act & Arbitration Laws.

Instant Download - Get your NDA ready within minutes.

Time-Saving - No need to draft from scratch; use our ready-to-go templates.

Revision Support - Assistance with revisions to match evolving business needs.

Lifetime Access - Download it once, and use it anytime.

Questions related to Non-Disclosure Agreement

What is Confidential Information?

Confidential Information refers to any sensitive data, trade secrets, or proprietary knowledge shared between parties under an NDA. This can include business strategies, financial data, technical information, or any other material that is not publicly available and is intended to remain private.

Who should sign an NDA?

An NDA should be signed by anyone who will have access to confidential information, including employees, contractors, partners, or any third-party vendors. It ensures that all parties understand their obligations to protect sensitive information.

How long does an NDA remain valid?

The validity period of an NDA varies depending on the terms agreed upon by the parties involved. Typically, an NDA can remain in effect for a specified number of years or until confidential information becomes publicly available. Some NDAs may also have a perpetual term, meaning they remain valid indefinitely.

What happens if someone breaks an NDA?

If someone breaches an NDA, the disclosing party may seek legal remedies, including injunctive relief to stop further disclosure and monetary damages for any losses incurred. In severe cases, it could also lead to termination of contracts or business relationships. Breaching an NDA can have serious legal and reputational consequences.

What is the difference between a non-disclosure agreement and a confidentiality agreement?

There is no real difference between an NDA and a Confidentiality Agreement as they both aim to protect confidential information from disclosure. Although the titles differ, the legality of the agreements remains the same.

Does the NDA need to be notarized?

No, an NDA does not have to be notarized to be valid in India. Once both parties sign it with consent, it is legally binding. However, notarizing the document adds an extra layer of proof and can help if there is a legal dispute later.

What is another name for non-disclosure?

A Non-Disclosure Agreement is also called a Confidentiality Agreement or Secrecy Agreement. These names all mean the same thing and are used to protect private or sensitive information.

What is the difference between NDA and MoU?

An NDA is a legal agreement focused on protecting confidential information, and it also imposes legal obligations in case of disclosure. On the other hand, A Memorandum of Understanding (MoU) is a general agreement that shows the intent of two or more parties to cooperate or enter into a future agreement. An NDA is always legally binding, but a MoU may not always be, unless they have clear legal obligations.

How long is the NDA valid for?

The validity of an NDA depends entirely on the duration specified within the agreement. Most NDAs last between 2 to 5 years. But if it involves trade secrets or highly sensitive information, it can last forever. Even after the agreement ends, the duty to keep the information private can continue if it’s written that way.

Who uses non-disclosure agreements?

NDAs are used by many people and companies. Startups use them with investors, companies use them with employees and freelancers, and businesses use them when planning partnerships. Anyone who wants to protect private business information can use an NDA.

What are the key elements of a non-disclosure agreement?
  • Definition of Confidential Information
  • Obligations of the Receiving Party
  • Exclusions from Confidentiality
  • Duration of Obligation
  • Remedies in case of Breach

Disclaimers : Unsure about your rights, and confused by the overcomplicated language of the law? Pose your inquiry to our sophisticated platform.
Further information: Always consult your legal team to ensure the information displayed on this page applies to your personal circumstances.
cost effective
Cost-EffectiveAffordable pricing for startups, SMEs, and enterprises.
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