Goodwin Procter Tech and Life Sciences partner Mitch Bloom and associate Laurie Burlingame recently authored an article on the importance of entering into confidentiality agreements for entrepreneurs and startup founders. Published in Upstart Business Journal, the article highlights key areas of consideration when negotiating the terms of a confidentiality agreement, including:
- Purpose of the confidentiality agreement – Clarify the purpose of the agreement and be sure to limit the recipient’s use of your confidential information to this specified purpose.
- Definition of confidential information – Define the confidential information as broadly as possible to ensure maximum protection of your assets.
- Exceptions to the confidentiality rule – Review and limit any exceptions made by the recipient to the definition of the confidential information.
- Determining who should be ‘in the know’ – Identify any/all groups of people the recipient can share your confidential information with during the period of the agreement.
- The period of confidentiality – Define a period of time during which the recipient agrees to keep your confidential information protected from disclosure.
For complete insight into these key issues, please read the full article here.