These agreements, which are used between start-ups, individuals, small and medium-sized enterprises (SMEs) and large companies trying to establish a new business relationship or partnership, can be used to preserve the confidentiality of valuable disclosures and prevent the misuse of this information. Confidentiality agreements ensure that both parties to a potential transaction or project (e.g. B of a joint venture) include the confidentiality of the information disclosed and the consequences of a breach of confidentiality. For example, it puts the parties in a certain connection when it appears that an indeterminate obligation of confidentiality may not be applicable and may not be accepted by large companies, but that the disclosure of trade secrets under a time-limited obligation of confidentiality risks the loss of trade secret protection or the loss of the protection of confidential information. One solution to this problem is a shared confidentiality obligation, in which trade secret obligations apply indefinitely, but obligations relating to all other confidential information apply only for a limited period of time. This should be generally applicable and constitute an appropriate effort to maintain, where necessary, the protection of trade secrets. When signing a confidentiality agreement, the benefits of including a clause (i.e. the termination of contractual obligations) depend on the greater likelihood that you will disclose or obtain confidential information. If you are the party to be disclosed, you want to ensure that your confidential information is treated confidentially and that there is no potential unauthorized disclosure. This means that you want to protect the privacy of this information for as long as possible. If you are the receiving party, you wish to limit your obligations in the agreement, which contains the information you must keep confidential and the length of time you must keep it confidential. Our employment law team specializes in consulting on confidentiality agreements and personnel and deals in this article with the management of a breach of confidentiality by an employee.
The General Data Protection Regulation (GDPR) impacts confidentiality agreements, which must be designed (or updated if they already exist) to ensure that provisions comply with the requirements of the rules. Our data protection lawyers can advise you on this. MARK Hargreaves, principal of AJ Park Law, and Grace Thomas-Edmond, senior partner, discuss whether confidentiality agreements with time limitations protect trade secrets. . . .