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A Nebraska non-disclosure agreement (NDA) is often referred to as a confidentiality agreement. It is used to protect a legitimate business interest such as intellectual property that isn't general knowledge.
An NDA may also be able to restrict when former employees can approach former customers. It does this by the use of restrictive covenants.
A Nebraska non-disclosure agreement must not include a time restriction and geographic area restriction that is unreasonable. According to court rulings, a Nebraska non-disclosure agreement cannot list a length of time outside of its 'useful life.' It is important for the enforceability of non-disclosure agreements must be thoroughly defined and must only be used to cover that which is truly confidential.
Before drafting an NDA for your business or signing one presented to you, you should seek legal advice from a law firm that understands Nebraska law and who can explain geographic restrictions and good faith as well as how they relate to these documents.
As a business, you must understand that an NDA can only protect a legitimate interest of your business and that you can only use a reasonable time as well as reasonable geographic restrictions. Ensuring that your NDA is properly written can help you if your dispute against a former employee ends up in Nebraska courts using a choice of law provision.
As a new employee, signing an NDA can impact your ability to find future work in your industry which is you must understand what you're signing. A law firm may even be able to tell you whether you have any bargaining power before you sign the document.
Nebraska’s Trade Secrets Act, Neb. Rev. Stat. §§ 87-501 through 87-507 , is used to define confidential information as well as non-disclosure agreements. The Nebraska Trade Secrets Act also explains how businesses should preserve the secrecy of the information , the statute of limitations , and possible damages a business may receive if the NDA is violated.
While an NDA is certainly important, it shouldn’t be the only contract a business uses with its new hires and contractors to protect their information. Businesses should also use a Nebraska non-compete agreement .
A non-disclosure agreement is used to protect confidential information that a business uses to set themselves apart and to make them financially competitive in the industry. The confidential information is called a trade secret.
For something to be treated as a trade secret to gain actual protection from the NDA, it must fit the definition of “trade secret” as mentioned in Nebraska’s Trade Secrets Act, Neb. Rev. Stat. § 87-502 : information that includes but isn’t limited to a drawing, a formula, a pattern, a compilation, a program, a device, a method, a technique, a code, or a process with potential or actual financial value.
The information gains financial value because it isn’t readily available for public use. It’s also not something so simple that other businesses could easily figure out and use for their benefit. For the information to be protected as a trade secret, a business must take reasonable efforts to keep the information secret.
To write a basic Nebraska non-disclosure agreement, you should first read the Nebraska Trade Secrets Act. This will help you better understand the type of information that an NDA can protect, what your business must do to protect its confidential information, and other important issues related to trade secrets.
While this will help give you some clarity as to how non-disclosure agreements function, it isn't a substitute for legal advice. A lawyer can help ensure that your NDA is properly written to be enforceable.
You can save your template in Microsoft Word (.docx) for easy editing.
Both the Disclosing Party and the Receiving Party should sign and print their names. The signatures should be dated. The parties should receive a copy of the finalized contract for their records.
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