The Vendor Non Disclosure Agreement is essential for businesses operating in Malaysia who need to protect their confidential information when engaging with external vendors and service providers. This document is designed to comply with Malaysian law, particularly the Contracts Act 1950 and related legislation, while providing robust protection for proprietary information, trade secrets, and sensitive business data. It should be used before sharing any confidential information with vendors during procurement processes, service delivery, or other business collaborations. The agreement includes comprehensive definitions of confidential information, clear obligations for information handling, security requirements, and enforcement mechanisms suitable for the Malaysian business environment. It's particularly important given Malaysia's growing role in international business and technology sectors, where vendor relationships often involve access to valuable intellectual property and sensitive data.
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1. Parties: Identifies and provides full details of the disclosing party and the receiving vendor
2. Background: Explains the context of the relationship and purpose of sharing confidential information
3. Definitions: Defines key terms including 'Confidential Information', 'Permitted Purpose', 'Representatives', and other relevant terms
4. Scope of Confidential Information: Details what constitutes confidential information under the agreement
5. Confidentiality Obligations: Core obligations regarding use, disclosure, and protection of confidential information
6. Permitted Disclosures: Circumstances under which confidential information may be disclosed, including to employees and professional advisors
7. Security Measures: Required measures to protect confidential information
8. Return or Destruction of Confidential Information: Obligations regarding confidential information upon termination or request
9. Duration and Survival: Term of the agreement and which obligations survive termination
10. Breach and Remedies: Consequences of breach and available remedies including injunctive relief
11. General Provisions: Standard clauses including governing law, jurisdiction, and entire agreement
1. Data Protection Compliance: Required when confidential information includes personal data subject to PDPA 2010
2. Intellectual Property Rights: Include when confidential information contains patentable inventions, copyright works, or other IP
3. Export Control: Necessary when dealing with international vendors or technology subject to export restrictions
4. Subcontractors: Include when vendor may need to engage subcontractors who will have access to confidential information
5. Insurance Requirements: Add when requiring vendor to maintain specific insurance coverage for potential breaches
6. Audit Rights: Include when regular audits of vendor's compliance with security measures are needed
7. Competition Restrictions: Add when vendor works with competitors and additional safeguards are needed
1. Schedule 1 - Description of Confidential Information: Detailed list or categories of information considered confidential
2. Schedule 2 - Permitted Purpose: Detailed description of the specific purposes for which confidential information may be used
3. Schedule 3 - Security Requirements: Technical and organizational security measures required to protect confidential information
4. Schedule 4 - Authorized Representatives: List of individuals authorized to receive and handle confidential information
5. Appendix A - Data Processing Requirements: Specific requirements for handling personal data if applicable under PDPA 2010
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