Website: graphenebusinesslaw.ca
Email: info@graphenebusinesslaw.ca


Thank you for visiting Graphene Business Law. If you’re watching this video on YouTube, please go ahead and click on the red subscribe button! Graphene Business Law is your go-to platform for business law services for entrepreneurs, and small and medium-sized business services, in Toronto and beyond - and we’ll be posting content regularly that speaks to legal areas of interest for you as an entrepreneur, or small or medium-sized business owner or operator.

Today we’re speaking about NDA’s, or non-disclosure agreements. We see that protecting various sorts of confidential information is becoming increasingly important for entrepreneurs and small and medium-sized business owners, in today’s increasingly competitive business landscape. You might have heard of NDA’s before in the context of celebrity news, or mega companies such as Coca-Cola. However, the NDA is an invaluable tool for start-ups and small and medium-sized businesses, who are measured in their resources, without the large teams of lawyers and accountants to back them up.

There are various styles of NDA’s, some protect the disclosing party, some more strongly favour the party who is receiving the information, and some NDA’s can be mutual – meaning that both parties share information with each other, and wish for the information to remain protected. As regards the damages section of the NDA, or how much money you are entitled to if the other side breaches your confidential information, this is something that can either be made explicit in the NDA itself, or can be worded more vaguely as to allow you to better ascertain the damages you are entitled to, closer to the time of the breach itself, should one occur.

Here, you might be thinking: why do I need an NDA if the contract I will eventually sign with another party is likely to have a confidentiality clause? It is strongly advised that you sign a lawyer prior to signing any such contract. A lawyer will be able to help with the big picture of the contract, and will also be able to bolster specific sections within your contract – such as your confidentiality clause. Moreover, contracts are usually signed once negotiations with another party have concluded, and are not likely to be signed as a first step to discussions between parties. This is owing to a myriad of reasons, specific to contract principles in Ontario and in Canada. However, what happens to all the information that is divulged between that first encounter with another party, and when an agreement is actually reached between the two parties? This is one such blind spot which the NDA can help identify and support.

5 further situations that might require a non-disclosure agreement are: i) any time you’re dealing with some sort of IP of yours that you’re sharing with someone else, ii) when you are sharing confidential or proprietary information with employees, iii) when you are in talks with potential partners or investors, iv) when you are receiving services from a company that has access to sensitive information – your it guys, and v) when you are sharing business information with a prospective buyer of your business.

We hope this video has been helpful to you, in helping you understand why you as an entrepreneur or a small or medium-sized business owner can benefit from using NDA’s in your discussions with vendors, investors, and employees, among other parties. For further NDA inquiries, or assistance in drafting strong NDA’s, please reach out to us at Graphene where we have experience working on NDA’s across various industries. You may contact Graphene by filling out the booking tool on our web page graphenebusinesslaw.ca, or sending a direct inquiry to info@graphenebusinesslaw.ca . You may also text us at 647-466-5985.

When you think business law, think Graphene!

-

Disclaimer: please note that the use of this video does not create a client-lawyer relationship with the firm or any of its lawyers. Please also note that the information on this site is for general reference only, and should not be relied on as legal advice. Always consult a lawyer for advice particular to your circumstances.

свернуть