In today’s competitive landscape, a non-disclosure agreement (NDA) is your shield against idea theft and data leaks. Yet, poorly drafted nondisclosure agreements can leave your business exposed. Avoid these five critical errors in your nda contract or nda agreement to prevent costly breaches under Indian law.

1. Vague Definition of Confidential Information

Failing to clearly define what’s protected in your confidentiality agreement renders it useless. Generic terms like “business information” allow leaks.

Fix: List specifics—trade secrets, client lists, software code—in your non-disclosure agreement.

2. Missing Breach Consequences

Many nda contracts lack penalties for violations. Without damages, injunctions, or liquidated clauses, enforcement becomes weak.

Fix: Include monetary penalties and legal remedies in every nondisclosure agreement.

3. Ignoring Exclusions & Duration

Not excluding public-domain data or setting no end date makes your nda agreement unenforceable. Indian courts strike down perpetual or overly broad confidentiality agreements.

Fix: Define exclusions and reasonable timelines (e.g., 2–5 years).

4. One-Size-Fits-All NDA Templates

Using generic online non-disclosure agreements ignores industry-specific risks (e.g., tech vs. manufacturing).

Fix: Customize your nda contract with LawChef for Indian Contract Act compliance.

5. Skipping Mutual NDA When Needed

Unilateral nda agreements protect only one party—leaving your investor or partner free to misuse your data.

Fix: Use mutual confidentiality agreements in two-way discussions.

Don’t risk millions. LawChef drafts airtight, India-compliant non-disclosure agreements and nda contracts tailored to your business.