Free Mutual Confidentiality Agreement
A Mutual Confidentiality Agreement is used to protect the confidential information of both parties involved in the agreement.
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Confidentiality Agreements are, in general, a common occurrence across businesses and industries. They are usually used to protect a company, employer, or an individual and their interests.
However, when two businesses are going through a merger or working on a joint project, they can benefit from a Mutual Confidentiality Agreement. With the agreement in place, the companies can be relatively confident that any confidential information disclosed will be safe and protected.
A Mutual Confidentiality Agreement protects the sensitive information of the two parties signing the agreement. Most often, these parties are businesses, but not exclusively. A Mutual Confidentiality Agreement can be used between two individuals or a company and an individual.
In any case, the idea is the same – the agreement outlines what is considered confidential information, and both parties promise not to disclose it to anyone. Information leaks are taken very seriously in some industries, in which companies take every precaution to prevent that from happening.
Depending on your state, a Mutual Confidentiality Agreement may also be known as:
Individuals and companies possessing valuable proprietary information benefit from having a Mutual Confidentiality Agreement. In practice, this type of confidentiality agreement is most often used between businesses. For example, if two companies are launching a campaign together, they will most likely enter into a Mutual Confidentiality Agreement.
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Confidentiality Agreements must be as specific as possible. Leaving out an important detail could lead to the document being voided by the court.
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A Mutual Confidentiality Agreement requires the signature of both parties. Only then can it be legally binding. Notarization is unnecessary, but having a witness present could be useful in proving the document's authenticity.
After both parties sign the Mutual Confidentiality Agreement, they should receive a physical copy of the document. It is essential to keep the form safe if you ever need to present it in court or to a third-party.
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