Skip to main content

e-Sign with PandaDoc

Employee Confidentiality Agreement

​

Image 1

Prepared by:

​[Employer.FirstName][Employer.LastName] ​[Employer.Company]​

Prepared for:

​[Employee.FirstName][Employee.LastName]

​[Employee.Company] ​

This agreement is operational when signed by and between the parties [Employer.FirstName][Employer.LastName][Employer.Company], a Private Limited Company having its office headquartered at [Employer.StreetAddress][Employer.City][Employer.State][Employer.PostalCode][Employer.Country], and [Employee.FirstName][Employee.LastName], residing at [Employee.StreetAddress][Employee.City][Employee.State][Employee.PostalCode][Employee.Country]​.

​[Employee.Company] is offering employment to Mr./Ms. __________________ from ______________(Date of joining the company), and this agreement intends to safeguard the confidential information or data revealed by the Company during employment to [Employee.FirstName][Employee.LastName].

In contemplation of the remuneration salaried by the [Employee.FirstName][Employee.LastName], the receipt and competence of which is accepted hereby, [Employee.FirstName][Employee.LastName] hereto agrees with the following clauses:

1. Confidential Information or Data

​[Employee.FirstName][Employee.LastName] must consider that any confidential information or data shared by [Employee.Company] are the exclusive trade secrets of the Employer. Therefore, it is the foremost duty of the Employee to take practical and equitable steps to protect the confidentiality of the shared information or data.

The Employee is not authorized to utilize any proprietary data or confidential information for their personal advantage or the benefit of others during the employment period.

The Employee agrees that the proprietary data and confidential information are the sole property of the Employer. Thus, the Employee will not confiscate it away from the company premises of the Employer under any conditions unless the Employer provides written approval to the Employee. If the information or data is removed, the Employee must submit it back to the Employer upon the termination and refrain from making copies or replicating it.

All the vital devices, computer disks, files, notebooks, and any other tangible asset containing proprietary data or confidential information are the Employer's private property. Thus, the Employee holds no right over the exclusive belongings of the Employer.

The Employee agrees that they, under any circumstance, will not reveal the proprietary data or confidential information, whether directly or indirectly, to any other person or entity. Any utilization of confidential material by the Employer will result in the breach of data, necessitating the Employer to take strict legal action against the Employee.

If the Employee leaves their position, they cannot take up another job within a specific time period of _______ months and cannot share any confidential information, data, or tangible material with their previous Employer.

It is a common practice for employers to allow their employees to take another job after a certain period of time. These periods are usually 6 or 12 months, but sometimes they can be much longer. The reason behind this clause is that employers want to retain employees with experience and valuable skills.

2. Constraints and Exceptions Regarding Confidential Information and Proprietary Data

​[Employee.FirstName][Employee.LastName]agrees to maintain the secrecy of the proprietary data and confidential information to avert its unauthorized distribution for a minimum period of _________ years from the date of last and the final disclosure by[Employee.Company] .

3. Inventions or Discoveries

During the employment of [Employee.FirstName][Employee.LastName] with [Employee.Company], the Employee must disclose all the inventions, creative ideas, improvements, and discoveries in writing to the Employer, even if it is not registrable under the Copyright Act. Besides, the Employee also has to mention whether the inventions, creative ideas, improvements, and discoveries were alone or with a fellow employee of the Company. The Employee agrees that all the inventions, creative ideas, improvements, and discoveries, whether material, intellectual, or visual, are the exclusive property of the Employer.

An invention clause helps prevent employees from sharing confidential information with competitors or investors and also prevents them from stealing their ideas and products. It allows one party to claim ownership of any inventions made by the other party during their professional association.

4. Return of Crucial Documents and Materials

Upon the written request made by [Employee.Company], [Employee.FirstName][Employee.LastName] shall return or destroy/erase all the crucial documents and materials containing any confidential information or data of the Company. The Employee is also liable to hand over all the work-related notes, financial statements, files, computer programs, and any material that embodies the Employee's job-associated information. However, the return or destruction of material, information, or data does not relieve the Employee of their obligation to maintain confidentiality. The Employee has to certify that they have complied with all the norms and provisions of this clause.

5. Covenant Not to Compete

During the employment course of [Employee.FirstName][Employee.LastName] with [Employee.Company], the Employee agrees not to engage or participate with the business competitors without obtaining written consent from the Employer beforehand.

After the termination, the Employee must not reveal any information encircling the trade secrets of business or clients associated with [Employee.Company].

6. Termination

This agreement will remain effective and expressly dismissed in writing and signed by Employer and the Employee until _______ years from the date of employment termination between [Employee.FirstName][Employee.LastName] and [Employee.Company].

The breach of any clause by the Employee stated in this agreement, or any misconduct in the Company shall lead to termination of the employment. The Employee's association with the Employer is terminable at will. Therefore, either the Employee or the Employer is authorized to terminate the association with prior notice of ______ days.

7. Acknowledgement by the Employee

​[Employee.FirstName][Employee.LastName] acknowledges that [Employee.Company] shall provide the Employee access to all the confidential information, proprietary data, clients, and trade secrets in the faith of this agreement and goodwill. The Employee agrees to retain the said data and information as confidential and not to disclose it on their behalf to any third party.

​

Signature
MM / DD / YYYY

​[Employee.FirstName][Employee.LastName]​

​

Signature
MM / DD / YYYY

​[Employer.FirstName][Employer.LastName]​

Useful resources

Featured Templates
Sales Proposals
NDA Agreements
Operating Agreements
Service Agreements
Sales Documents
Marketing Proposals
Rental and Lease Agreements
Quote Templates
Business Proposals
Agreement Templates
Purchase Agreements
Contract Templates

FAQ

  • Usually, a confidentiality agreement:

    • Includes the parties involved in the agreement

    • Defines confidential information

    • Defines the terms of the agreement

    • Has provisions of penalties for breach of contract

    • Specifies the laws governing the agreement

  • While confidentiality agreements are enforceable and beneficial to both parties, in certain cases, they can be bypassed. An NDA can be overlooked in case of public interest or when employees are required by law, police and healthcare professionals, or regulatory agencies to disclose the truth.

  • An employee confidentiality agreement, or a nondisclosure agreement (NDA), is a legally enforceable contractbetween an employee and an employer that binds the employee to respect the confidential information shared by the employer during the course of employment.

  • When writing an employee confidentiality agreement, you must remember certain points. They are:

    • Identifying the parties involved

    • Deciding what to include in the confidentiality clause

    • Defining the scope of the confidentiality obligation

    However, you don’t have to do things from scratch.You can simply download this comprehensive template andbe on your way.

  • Yes, an employee who signed a confidentiality agreement can testify later if the confidentiality provision interferes with the administration of justice. 

Disclaimer

Materials (e.g. templates, educational articles, blog posts and informational content), made available through PandaDoc, including via any integrations, connectors, extensions, plugins, or third-party AI platforms (e.g. ChatGPT, Claude, or similar tools) are for general information purposes only and are provided "as is." These materials do not constitute legal, regulatory, or compliance advice and should not be construed as such. It is your responsibility to ensure materials meet your specific legal requirements. Consult a qualified attorney licensed in your jurisdiction before relying on these materials. PandaDoc disclaims all warranties, express or implied, including fitness for a particular purpose or non-infringement.

Related templates

Employee NDA Template

Employee NDA Template

This distribution agreement template is designed to help UK distributors accelerate their document signing process. Download your free copy today.

Employee Handbook Template

Employee Handbook Template

The employee handbook holds staff members liable for adhering to policies and procedures while also providing information about the organization, including its values.

Employee Recognition Template

Employee Recognition Template

This Employee Recognition Template can be used as a permitted document or note detailing the employee's achievements and subsidies. Just use your copy today.

Employee Schedule Template

Employee Schedule Template

Effortlessly manage your team's schedules and maximize productivity with our customizable Employee Schedule Template.

available

Employee Confidentiality Agreement

Used 4,928 times

AI BadgeAI assistant included

Employers frequently permit their staff to accept new positions after a predetermined amount of time. Utilize this sample employee confidentiality agreement.

Use this template — free
Use this template — free

Care to rate this template?

Your rating will help others.

Rate this template

Thanks for your rate!

Template preview
e-Sign with PandaDoc
PandaDoc
TemplatesEmployment
Close
PandaDoc
TemplatesEmployment
Close