A Bilateral NDA is essential when two parties need to share confidential information with each other during business discussions, negotiations, or collaborative projects. This type of agreement is commonly used in situations ranging from potential mergers and acquisitions to joint venture discussions and technology licensing deals. The Bilateral NDA establishes clear obligations for both parties regarding the handling, use, and protection of confidential information, supported by U.S. federal and state laws. It typically includes definitions of confidential information, permitted uses, duration of confidentiality obligations, and requirements for information return or destruction.
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1. Parties: Identification of both parties entering into the NDA, including legal names and addresses
2. Background/Recitals: Brief context explaining why the parties are entering into the NDA
3. Definitions: Key terms including 'Confidential Information', 'Permitted Purpose', 'Representatives'
4. Confidentiality Obligations: Core obligations regarding protection and non-disclosure of confidential information
5. Permitted Uses: Allowed uses of the confidential information
6. Term and Termination: Duration of the agreement and termination provisions
7. Return of Information: Obligations regarding return or destruction of confidential information
8. Governing Law: Jurisdiction and applicable law
1. Non-Solicitation: Prevents parties from hiring each other's employees - used when sharing sensitive employee information or working closely with other party's staff
2. Residual Rights: Rights regarding retained knowledge - typically included in technology or innovation-focused agreements
3. Data Protection: Specific provisions for handling personal data - required when sharing personal or sensitive data
4. Export Control: Compliance with export control laws - included when sharing technology or technical data across borders
1. Description of Confidential Information: Detailed list or categories of information covered by the agreement
2. Authorized Representatives: List of individuals authorized to receive confidential information
3. Security Protocols: Specific security measures required for handling confidential information
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