It seems that every employer these days is talking about NDAs and asking whether they are necessary. They get a variety of opinions that claim that they are not worth the paper that they are written on to you absolutely categorically must have them. The bottom line is, if your employees are in possession of confidential information or trade secrets, they need to sign an NDA.
Here, your aim is to protect your company’s valuable information and inner workings from competitors and the general public. These are things that you have worked hard to build and do not want to risk getting out where they can get into the wrong hands.
Why You Should Consider NDAs
Your employers may not be on your payroll tomorrow, meaning they could be working for themselves or a competitor. The last thing that you want is for them to take information with them that could help them poach clients or replicate your business elsewhere.
An NDA offers you the following advantages:
- You can define what information is confidential
- Your intellectual property is protected
- It prevents unfair competition
- It could prevent employees from leaving
At the same time, you should overly use NDAs because courts may be less inclined to enforce them if you overreach. Your agreements should not be overly one-sided, and you must make sure that employees receive some type of consideration for signing these agreements. A balanced, targeted, and well-drafted NDA has a greater chance of standing up in court.
Call a Los Angeles Business Litigation Attorney
The Law Offices of Alan J. Carnegie PC helps with your business litigation needs, and we can help you stay out of litigation. Call us today at 877.261.4456 or contact us online to get answers to your employment law questions.