Protecting Your Business Information: A Primer on Confidentiality, Non-Competition and Non-Solicitation Agreements
Book Details
Author(s)Eric A. Parzianello
PublisherExecSense
ISBN / ASINB00AF0R7CO
ISBN-13978B00AF0R7C5
Sales Rank2,113,411
MarketplaceUnited States 🇺🇸
Description
How do I protect my confidential information and client contacts? It’s a question I’m asked all the time by corporate executives and business owners. It’s a question almost everyone in business has at least given some serious thought.
In today's competitive business climate, corporate executives, now perhaps more than ever, are increasingly concerned about how to protect their company's confidential information and market share. Customer lists, pricing information and business techniques must be diligently safeguarded and could negatively impact a company's revenues if disclosed to others.
Often, the threat of disclosure or negative economic impact comes from a company's own employees or business associates who may have been given access to sensitive information. Once such information is utilized against a company's wishes, litigation typically ensues.
Companies which have best protected themselves from such actions through the use of various agreements are typically the ones who are most successful in any litigation to enforce their business interests. Three types of agreements are the most common in order to protect confidential information and market share: confidentiality agreements, non-competition agreements and non–solicitation agreements.
A confidentiality agreement protects sensitive information which is necessary for a company to disclose to various individuals including employees. A noncompetition agreement restricts or prohibits employees or others associated with the company from engaging in competition with the company. Lastly, a non-solicitation agreement restricts or prohibits the solicitation of a company's business clients, contacts or current employees. Each of these three agreements together with litigation examples will be discussed below.
I specialize in litigating disputes which involve the protection of sensitive information. However, just like a coach will tell you that a game is won through preparation, the litigation “game†is won by being prepared for any fight before it starts. I counsel my clients to expect the best out of their employees and business associates but to expect the worst. I suggest that they should have agreements in place with any employees or business associates who will have access to sensitive information. These agreements not only make clear to those individuals the level of importance which the company places in its information but serve as evidence in any litigation of the company’s right to prohibit certain actions.
In today's competitive business climate, corporate executives, now perhaps more than ever, are increasingly concerned about how to protect their company's confidential information and market share. Customer lists, pricing information and business techniques must be diligently safeguarded and could negatively impact a company's revenues if disclosed to others.
Often, the threat of disclosure or negative economic impact comes from a company's own employees or business associates who may have been given access to sensitive information. Once such information is utilized against a company's wishes, litigation typically ensues.
Companies which have best protected themselves from such actions through the use of various agreements are typically the ones who are most successful in any litigation to enforce their business interests. Three types of agreements are the most common in order to protect confidential information and market share: confidentiality agreements, non-competition agreements and non–solicitation agreements.
A confidentiality agreement protects sensitive information which is necessary for a company to disclose to various individuals including employees. A noncompetition agreement restricts or prohibits employees or others associated with the company from engaging in competition with the company. Lastly, a non-solicitation agreement restricts or prohibits the solicitation of a company's business clients, contacts or current employees. Each of these three agreements together with litigation examples will be discussed below.
I specialize in litigating disputes which involve the protection of sensitive information. However, just like a coach will tell you that a game is won through preparation, the litigation “game†is won by being prepared for any fight before it starts. I counsel my clients to expect the best out of their employees and business associates but to expect the worst. I suggest that they should have agreements in place with any employees or business associates who will have access to sensitive information. These agreements not only make clear to those individuals the level of importance which the company places in its information but serve as evidence in any litigation of the company’s right to prohibit certain actions.
