Answers / Employment
EMPLOYMENT

What is an NDA and should I sign one?

SHORT ANSWER

A non-disclosure agreement legally binds you to keep certain information secret. Signing is often reasonable, but watch for overly broad scope, indefinite duration, and one-sided terms.

A non-disclosure agreement (NDA) requires you to keep specified information confidential. They’re common and often reasonable — protecting genuine trade secrets. The concerns arise when an NDA is too broad (covering information that isn’t really confidential), lasts forever, is one-sided (only you’re bound), or is so restrictive it limits your future work. Before signing, check what’s actually defined as confidential, how long the obligation lasts, and whether it quietly restricts where you can work next. Reasonable NDAs are fine; overreaching ones deserve pushback.

What to do, in order

  1. Read what information the NDA actually defines as confidential.
  2. Check the duration — indefinite obligations are a red flag.
  3. See whether it’s mutual or only binds you.
  4. Look for hidden non-compete or non-solicit language.
  5. Negotiate overly broad terms before signing.

Common questions

How long should an NDA last?

Reasonable NDAs often last a few years for general confidential info; indefinite terms are common for true trade secrets but broad indefinite terms deserve scrutiny.

Can an NDA stop me from working elsewhere?

A pure NDA shouldn’t — but some contain non-compete or non-solicitation clauses that do. Read carefully for those hidden restrictions.

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Main AI explains documents and general legal rights in clear terms. It is not a law firm and does not provide legal advice. Laws vary by state and change over time — verify specifics for your jurisdiction, and consult a licensed professional for advice on your situation.