North Carolina Non-Disclosure Agreement
The North Carolina Non-Disclosure Agreement is a state-specific contract that is used in situations where a company or individual will be sharing confidential information (called “Trade Secrets”), and need to ensure the party(s) learning the information do not share it with anyone unless specifically given permission to do so in the document. Because Trade Secrets have economic value to a company and are that company’s property, an NDA is not required for bringing a case against an individual who wrongly used a trade secret – however, signing an NDA can not only aid your position, it can make recovering damages and having an injunction issued far easier.
Trade Secret Law
Before entering into a binding NDA in the state of North Carolina, it is essential that the parties involved understand how the state views and prosecutes for stolen confidential information, more commonly called “misappropriation of trade secrets.” The law, Article 24 “Trade Secrets Protection Act” consists of six (6) sections, which are briefly outlined below.
- § 66-152 “Definitions” – Gives the definitions for the terms “Misappropriation,” “Person,” and “Trade Secret”
- § 66-153 “Action for misappropriation” – States “the owner of a trade secret shall have remedy by civil action for misappropriation of his trade secret”
- § 66-154 “Remedies” – Lists the remedies for misappropriation
- § 66-155 “Burden of proof” – What the complainant needs to prove in court
- § 66-156 “Preservation of secrecy” – What the court does to ensure trade secrets are protected during litigation
- § 66-157 “Statute of limitations” – Complainant must bring a case of misappropriation within three (3) years of discovering it
How to Write
Step 1 – To begin, download the agreement in either Adobe PDF or Microsoft Word. Ensure both parties agree to the conditions of the contract – if not, add, remove, or edit existing conditions until the contract can be agreed upon.
Step 2 – Enter the Date that the contract will be going into effect. Starting with the Disclosing Party, have the party write their Full Name and Address into the fields provided. On the line directly below, repeat the same for the Receiving Party.
Step 3 – Go to the bottom of the last page. Have both parties write their Printed Names, company Titles, and the Dates they will be signing. Then, have them write their Signatures in the fields provided. Once all fields have been completed, the NDA will be in full binding effect.