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Non Disclosure Agreement For Sale Of Business for Nigeria

Non Disclosure Agreement For Sale Of Business Template for Nigeria

A comprehensive Non-Disclosure Agreement (NDA) governed by Nigerian law, designed specifically for business sale transactions. This document provides a robust framework for protecting confidential information during the due diligence process and preliminary negotiations of a business sale. It incorporates relevant provisions from Nigerian commercial law, including the Companies and Allied Matters Act (CAMA) 2020, and addresses specific requirements for business transactions in the Nigerian context. The agreement includes detailed provisions for information handling, permitted disclosures, duration of confidentiality obligations, and remedies for breach, while considering local business practices and legal enforcement mechanisms.

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Non Disclosure Agreement For Sale Of Business

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What is a Non Disclosure Agreement For Sale Of Business?

This Non-Disclosure Agreement For Sale Of Business is essential when a company in Nigeria is considering selling its business and needs to share sensitive information with potential buyers during the due diligence process. The document is crafted to comply with Nigerian legal requirements and business practices, incorporating provisions from key legislation such as CAMA 2020 and relevant common law principles. It's typically used before detailed negotiations begin, when the seller needs to share financial records, customer information, trade secrets, operational details, and other confidential business information. The agreement protects the seller's interests while facilitating necessary information exchange for transaction evaluation. It's particularly crucial in the Nigerian business environment where protecting proprietary information during business sales requires robust legal safeguards.

What sections should be included in a Non Disclosure Agreement For Sale Of Business?

1. Parties: Identification of all parties to the agreement, including full legal names, registration numbers, and addresses

2. Background: Context of the agreement, including the proposed business sale and purpose of sharing confidential information

3. Definitions: Detailed definitions of key terms, especially 'Confidential Information', 'Representatives', 'Permitted Purpose', and 'Transaction'

4. Scope of Confidential Information: Detailed description of what constitutes confidential information in the context of the business sale

5. Obligations of Confidentiality: Core confidentiality obligations, including use restrictions and standard of care

6. Permitted Disclosures: Circumstances under which confidential information may be shared with representatives and advisors

7. Security Measures: Required security measures for protecting confidential information

8. Return or Destruction of Information: Obligations regarding the return or destruction of confidential information if the transaction doesn't proceed

9. Duration of Obligations: Time period for which confidentiality obligations remain in force

10. Non-Circumvention: Prohibition on using the information to compete or circumvent the business sale process

11. Remedies: Available remedies in case of breach, including injunctive relief

12. Governing Law and Jurisdiction: Specification of Nigerian law as governing law and jurisdiction for disputes

13. General Provisions: Standard boilerplate clauses including severability, amendments, and notices

What sections are optional to include in a Non Disclosure Agreement For Sale Of Business?

1. Non-Solicitation: Prevents recipient from soliciting employees or customers. Include when the potential buyer could be a competitor

2. Data Protection: Specific provisions for handling personal data. Include when the business handles significant personal data

3. Exclusivity Period: Period during which the seller cannot negotiate with other potential buyers. Include when buyer requires exclusive negotiation rights

4. Public Announcements: Controls over public statements about the potential transaction. Include for high-profile transactions or when one party is publicly traded

5. Residual Knowledge: Provisions regarding use of non-confidential knowledge gained. Include when recipient is in the same industry

6. Force Majeure: Provisions for extraordinary events affecting compliance. Include during periods of significant uncertainty

7. Anti-Money Laundering Compliance: Specific provisions for AML compliance. Include for large transactions or regulated businesses

What schedules should be included in a Non Disclosure Agreement For Sale Of Business?

1. Schedule 1: Description of Business: Detailed description of the business being sold and scope of information to be shared

2. Schedule 2: Authorized Representatives: List of authorized representatives who may access confidential information

3. Schedule 3: Security Protocols: Specific security measures and protocols for handling confidential information

4. Schedule 4: Excluded Information: List of information specifically excluded from confidentiality obligations

5. Appendix A: Data Room Rules: Rules and procedures for accessing and using the data room, if applicable

6. Appendix B: Return/Destruction Certificate: Form of certificate confirming return or destruction of confidential information

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Nigeria

Document Type

Sale Agreement

Cost

Free to use
Relevant legal definitions
































Clauses



























Relevant Industries

Manufacturing

Technology

Financial Services

Retail

Healthcare

Energy

Telecommunications

Real Estate

Agriculture

Mining

Construction

Transportation

Hospitality

Education

Professional Services

Media and Entertainment

Relevant Teams

Legal

Finance

Corporate Development

Mergers & Acquisitions

Executive Leadership

Risk Management

Compliance

Information Security

Business Development

Strategy

Corporate Secretariat

Relevant Roles

Chief Executive Officer

Chief Financial Officer

General Counsel

Corporate Development Director

Mergers & Acquisitions Manager

Business Development Director

Investment Banker

Due Diligence Manager

Corporate Secretary

Risk Management Officer

Compliance Officer

Information Security Manager

Chief Operating Officer

Strategy Director

Financial Controller

Legal Counsel

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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