The Mutual Confidentiality And Non Circumvention Agreement is essential for businesses operating under Malaysian jurisdiction who need to protect sensitive information while exploring potential business relationships or negotiations. This document is particularly relevant when parties need to share trade secrets, proprietary information, business strategies, or technical data, while ensuring that neither party will attempt to bypass the other in business dealings. The agreement complies with Malaysian legal requirements, including the Trade Secrets Act 2021, Contracts Act 1950, and relevant data protection regulations. It is commonly used in situations involving business negotiations, joint ventures, potential partnerships, or any scenario where confidential information needs to be shared while maintaining legal protection against unauthorized disclosure or circumvention.
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1. Parties: Identification and details of all parties entering into the agreement
2. Background: Context of the agreement, including the purpose of sharing confidential information and the business relationship
3. Definitions: Definitions of key terms including 'Confidential Information', 'Permitted Purpose', 'Representatives', and 'Trade Secrets'
4. Confidentiality Obligations: Core obligations regarding the protection, use, and non-disclosure of confidential information
5. Non-Circumvention: Obligations not to bypass or circumvent the other party in business dealings
6. Permitted Disclosures: Circumstances under which confidential information may be disclosed, including to employees, advisors, or as required by law
7. Information Security: Requirements for protecting and securing confidential information
8. Return or Destruction of Information: Procedures for handling confidential information upon termination or request
9. Term and Termination: Duration of the agreement and termination provisions
10. Remedies: Rights and remedies in case of breach, including injunctive relief
11. General Provisions: Standard boilerplate clauses including governing law, jurisdiction, and entire agreement
1. Intellectual Property Rights: Specific provisions regarding IP ownership and rights, used when confidential information includes IP
2. Data Protection: Specific obligations regarding personal data protection, required when confidential information includes personal data
3. Non-Solicitation: Restrictions on soliciting employees or customers, useful in business relationship contexts
4. Electronic Information Security: Specific provisions for digital information security, important for technology-related agreements
5. Audit Rights: Rights to audit compliance with confidentiality obligations, useful for high-sensitivity information
6. Insurance: Requirements for insurance coverage, relevant for high-value or high-risk information
7. Force Majeure: Provisions for unforeseen circumstances, optional but useful in long-term agreements
1. Schedule 1 - Confidential Information: Detailed description or categorization of confidential information covered
2. Schedule 2 - Authorized Representatives: List of authorized representatives who may access confidential information
3. Schedule 3 - Security Procedures: Specific security procedures and protocols for handling confidential information
4. Schedule 4 - Permitted Purpose: Detailed description of the permitted use of confidential information
5. Appendix A - Information Handling Procedures: Standard operating procedures for handling, storing, and destroying confidential information
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