A Utah non-disclosure agreement is generally referred to as a confidentiality agreement. The purpose of a Utah non-disclosure agreement is to legally bind employees and contractors from giving out company or trade secrets during and even after their employment.
Utah non-disclosure agreements are governed by Utah Code §§ 13-24-1 through 13-24-9, Uniform Trade Secrets Act.
Within a Utah NDA, business secrets are known as “trade secrets.” Utah’s Uniform Trade Secrets Act defines a “trade secret” as information such as a formula, pattern, compilation, program, device, method, technique, or process with actual or potential monetary value that comes because the information isn’t known by the public and isn’t something that another business could figure out in their own development work. A business must take reasonable steps to protect the information they claim as a trade secret.
The Utah Uniform Trade Secrets Act also provides information on what sort of relief businesses may be entitled to receive through the legal system if the employee or contractor threatens to or actually violates the NDA. It also sets the statute of limitations for pursuing an action related to an NDA at three years.
Businesses in Utah who want to create the best possible secured environment for their trade secrets should use the NDA along with the Utah noncompete agreement.