What is a non-disclosure agreement?

What's a non-disclosure agreement?

Are you going to hire a consultant for your company, enter into a collaboration, or have you come up with a fantastic idea that you want to present to a company? Then you could benefit from a non-disclosure agreement!

A non-disclosure agreement is written to protect valuable information that you do not want to fall into the wrong hands. Through the agreement, two parties agree to share information with each other without disclosing it to others. This may involve the development of new products or customer lists.

Why should I write a non-disclosure agreement?

A non-disclosure agreement creates security in a collaboration. It gives you and your partner the opportunity to talk openly without the risk of the information falling into the wrong hands. On top of that, you don’t have to worry about the information being used in any way other than the way that you agreed upon.

With Jurio, you can write a non-disclosure agreement that works for both individuals and companies in Sweden.

Should I write a unilateral or mutual non-disclosure agreement?

Depending on your needs, the agreement can be unilateral or mutual. In a unilateral non-disclosure agreement, one party is obliged to protect the information they get from the other. Mutual agreements are used when both parties will share and want to keep sensitive information confidential.

Example 1:

Andy's Autos and Timmy's Tyres enter into a unilateral non-disclosure agreement in which Andy’s Autos undertakes confidentiality towards Timmy’s Tyres. In this situation, it is Timmy’s Tyres that shares sensitive information and Andy’s Autos that may not disclose it. If Timmy’s Tyres learns sensitive information about Andy’s Autos during the collaboration, Timmy’s Tyres has no obligation to maintain confidentiality under the agreement.

Example 2:

With mutual non-disclosure agreements, Andy’s Autos and Timmy’s Tyres maintain each other's trade secrets. Both parties are thus covered by confidentiality.

What does a non-disclosure agreement from Jurio contain?

When you write a non-disclosure agreement with Jurio, you get a full coverage agreement that can be used by both companies and individuals. The agreement is created and tested by experienced lawyers, so you can be sure that your agreement will be correct and legally valid in Sweden.

Jurio's agreement includes, among other things:

• Information about the parties and whether it is a unilateral or mutual non-disclosure agreement.
• A definition of what is covered by confidentiality - that is, what constitutes confidential and sensitive information.
• Provisions that ensure that for example employees of a party who may come into contact with the confidential information are covered by the agreement.
• What happens if the confidentiality is breached and one of the parties doesn’t comply with the agreement. When you create your non-disclosure agreement, you can choose what liquidated damages should be paid and in what currency.
• How any disputes are to be resolved, that is, whether they are to be tried in a public court or through arbitration. 
• The ability to choose whether the non-disclosure agreement should be in Swedish or English.

What happens if someone violates the non-disclosure agreement?

The non-disclosure agreement should specify what happens when a party violates the confidentiality. The most common solution is that damages, or predetermined liquidated damages, must be paid. The amount of damages may vary depending on the extent of the damage, but the liquidated damages is always a fixed amount.

Create your non-disclosure agreement with Jurio 

Jurio is a digital platform where both individuals and companies can create the legal documents they need. The documents are generated by answering questions in our smart digital forms. The document is then automatically customised to meet your needs.

Once the document is ready, both parties can easily sign it using BankID, or print and sign the agreement by hand. The entire process takes just a few minutes, and you can save thousands compared to letting traditional lawyers help you.

Our NDA only works in Sweden

Even though the final document generated with Jurio will be in English, it's been developed in Sweden. It's compliant according to Swedish law, but can't be legally relied on anywhere else. Make sure to check with a lawyer in the country you're going to use the NDA in to make sure you're getting all the coverage you need.

Click on 'Create an NDA' to get started!