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Unfulfillment Non Disclosure Agreement

Frequently asked questions about unfulfillment of Non-Disclosure Agreements

 

Red Horse-NDA    |    Non Disclosure Agreement   |    Unfulfillment Non Disclosure Agreement

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In the event a party fails to meet the terms of the Non-Disclosure Agreement (NDA), thus breaching the agreement, Red Horse-NDA provides all the information you need to know how to react.

 

 

     

 

04. If a non-disclosure agreement (NDA) has a fake signature, what should I do?
 
 
01. How to react to breaches of the Non-Disclosure Agreement (NDA)?
 
The Non-Disclosure Agreement (NDA) provides for situations of dispute either predicting which areas correspond to the breach of confidentiality or where to nullify them in the event of a breach, for example, with regard to legislation, judicial forum or even which basis of interpretation should govern the analysis of the Non-Disclosure Agreement (NDA). In the event of a dispute, involving a situation proven to be a breach of confidentiality, the detrimented party should quantify their losses and prosecute the offending party with a view to be compensated for those losses.
 
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02. If I am accused of failing to comply with a non-disclosure agreement (NDA), what should I do?
 
If you are accused of failing to comply with a non-disclosure agreement (NDA), you should immediately ask in writing the party accusing you of such behaviour what are the grounds for such accusation. If you were given an answer, you should analyze the grounds mentioned and reply accordingly. If you were not given an answer and the other party insists on the accusations, you can resort to legal means to prevent and punish such accusations coming from the other party and which are deemed to be false. You can do nothing and just wait for the other party to take legal action based on the alleged breach of the non-disclosure agreement and then, in court, you can respond and defend yourself from the accusations you are been charged with.
 
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03. If an employee of my company does not comply with the Non-Disclosure Agreement (NDA) what should I do?
 
If by chance you have a collaborator at your service or an employee working for your company that does not comply with the non-disclosure agreement to which he or she is contractually bound, you can do one of two things, depending on whether you are the receiving party or the disclosing party. Therefore, if you are the disclosing party, what you'll have to do is just solve the problem internally with your employee, within the framework of labour law, with possible consequences in terms of compensation and disciplinary action. If you are the receiving party, then there will be consequences regarding the other party which can directly hold you liable in a 1st instance. In a 2nd instance, the other party may react internally against the employee or collaborator just as you would do if you were the disclosing party.
 
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04.If a non-disclosure agreement (NDA) has a fake signature, what should I do?
 
This is clearly a case for the police, of a criminal scope therefore, and when confirming a fake signature affixed to a non-disclosure agreement, you should immediately report this to the police and, in case of prior breach of confidentiality, prepare legal action against the forger, so as to be compensated for any damages resulting from the breach.
 
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05. What kind of compensation can I ask for if someone breaches the Non-Disclosure Agreement (NDA)?
 
The clauses for criminal compensation should be included in non-disclosure agreements, so that, in case of a breach of the non-disclosure agreement (NDA), the amount can be more easily quantified. Yet, it should be noted that the compensation is of a civil nature and two items should be quantified. First, property damages, that is, direct damage as well as the loss of income that the detrimented party suffered resulting from the breach. Then, moral damages, which has more to do with damages regarding image, dashed expectations, etc.
 
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06. How is mediation carried out when there is a problem with the non-disclosure agreement (NDA)?
 
Mediation in a possible conflict under a non-disclosure agreement has essentially three major hypotheses. First, the parties should per se try to find common ground. Then, and if that is not possible, they should seek lawyers to represent them with a view to reach the consensus which they failed to obtain in the first instance in a more cold, distant and calculating manner. If a consensus is still not possible, then only in court and in the course of a lawsuit can that be achieved. Moreover, in this respect, depending on the jurisdictions and their legal proceedings, most procedural laws provide for a hearing during the case to seek a friendly outcome for the problem.
 
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07. If an employee is sacked, should he or she still continue to comply with the non-disclosure agreement (NDA)?
 
Yes, if the non-disclosure agreement (NDA) is well drafted and duly provides for all situations, employees, even if sacked, should continue to comply with the non-disclosure agreement. And this not only for situations of employees being sacked but also other forms of termination of a labour contract, such as mutual withdrawal, unilateral resignation by the employee, job extinction, term of the labour contract, etc.
 
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08. How should I proceed when I don't know who breached the non-disclosure agreement (NDA)?
 
If you do not know who breached the non-disclosure agreement (NDA), besides obviously proceeding with the necessary investigation mentioned above and that should involve your own employees, a lawyer and perhaps even the police, since you can always report a complaint against uncertain persons by considering the breach in a legal framework, such as invasion of privacy, abuse of powers, etc. However, it should be noted that this situation without proof will be extremely difficult to proceed with.
 
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09. If I judge an employee without being sure that he or she was the one who breached the non-disclosure agreement (NDA), what kind of consequences I am subject to?
 
There are several consequences when judging or accusing someone of having breached a non-disclosure agreement (NDA) without being sure. For example, in the labour context, if you took disciplinary action against the employee, you may have to rehire and compensate him or her. From the civil, may be subject to a case of compensation for moral and property damages to the individual citizen and, ultimately, in a criminal context, you may be subject to criminal prosecution for slander or insult, also being subject to eventual compensations for any moral or property damages caused. Therefore, all precautions are necessary.
 
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10. If I suspect that the trade secret mentioned in my company's Non-Disclosure Agreement (NDA) is being used by a competitor, what should I do?
 
Once again, to find out whether your non-disclosure agreement (NDA) has been breached by someone or not, to the extent of knowing that your company's trade secret was used by a third party, you should immediately check with their employees all shared information, mailing records, e-mails, etc., with a view to find clues leading to this disclosure. It is therefore pure investigation work that needs to be done discreetly and in secret in order to catch the offenders by surprise.
 
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11. An employee has used the trade secret protected by my company's Non-Disclosure Agreement (NDA), but did not disseminate it publicly. How should I proceed?
 
You should immediately take disciplinary action against the employee to make sure the secret is kept protected from the general public. In addition, you should go to the person receiving this information and, by all means, make them realize that such information is protected by a non-disclosure agreement (NDA), even if the third party is not bound to it. It is not easy to stop the secret from spreading, but quick action can be decisive here.
 
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12. I am accused of breaching a non-disclosure agreement (NDA). What should I do?
 
If you are being accused, and I assume irregularly, of breaching a non-disclosure agreement (NDA), you should immediately review every detail of the agreement so as to understand grounds for and scope of such accusation. You should gather all the information that you deem important to make a solid defence and talk to a lawyer. By the way, check whether any of your personal insurance plans cover this resource to a lawyer because this could result in substantial savings.
 
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13. How are disputes resolved regarding a Non-Disclosure Agreement (NDA)?
 
It depends from country to country, but disputes regarding breaches of non-disclosure agreements are usually settled in civil courts (there are other, such as criminal, family, labour, etc.) and there is usually a phase to investigate the case, i.e., collect elements of proof provided by the parties, collect facts from the plaintiff and the defendant, and basically streamline the case so as to obtain only essential information.  Then, there is usually a time for mediation with a view to avoid the trial, and, finally, if this is not possible, the trial will take place.
 
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14. What should I do if an employee does not admit to having breached the Non-Disclosure Agreement (NDA)?
 
Basically, if your employee does not admit that he breached the non-disclosure agreement (NDA), you should objectively and factually prove that there was a breach and, furthermore, that this breach was by that individual in question. It is important to emphasize the idea that there must be proof and that this proof must be indisputable and objective. Merely circumstantial evidence or suppositions and/or assumptions. Also, remember the fact that when you get to this point, you should already have all the elements gathered, otherwise, if the employee is not guilty, you could be accused of slander or, if the employee is indeed guilty, you'll be giving him or her the chance to subtract or even remove the evidence that would lead to the proof of the facts.
 
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15. How do I know if the non-disclosure agreement (NDA) has been breached?
 
Once again, to see if the non-disclosure agreement has been breached, you will have to refer to a lawyer so that he or she may answer your question as to whether a possible breach of the non-disclosure agreement (NDA) has definitely taken place or not. In this case, description, confidentiality and collection of proof are crucial to confirm the afore-mentioned breach.
 
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16. How do I know if a non-disclosure agreement (NDA) has been breached?
 
To confirm whether the non-disclosure agreement (NDA) was breached or not, in addition to the above, you should collect all proof that relate to the breaching act itself, such as the confidential information that was disclosed, the conduct, the e-mail that was drafted, etc. Then, you should find out whether these acts had a tangible result, that is, if third parties had access to this information, conduct, etc., and finally realize the extent of the chain of individuals or employees who breached the secret or conduct, i.e., who was involved in this act. This is a safe and practical way to find out if the non-disclosure agreement has been breached or not.
 
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