Issues Enforcing Nondisclosure Agreements

Confidential information is a basic business requirement. Such information is essential to protect business vitality, competitive advantage, industry leadership, and ultimately the market share. Sometimes a business may have to disclose confidential information to others to advance its business interests. Nondisclosure agreements can allow businesses to disclose confidential information without the risk of losing ownership of that information. 

However, nondisclosure agreements are only as effective as they are enforceable. A valid nondisclosure agreement can result in monetary damages or an injunction against the breaching party.