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Confidential Information clauses

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28/02/2024, 10:17
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Shaun Sethna • Following
Legal Leader for Tech Companies | Dad to the World's 2 …
8h •
"'Confidential Information' means all non-public information relating to the Product
that is disclosed to Recipient, including the financial, business, and technology
information of the Discloser."
I know people have strong feelings about NDAs, and there are no doubt various
opinions on how the above could be better.
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But I want to focus on one specific #ContractTrap here: the part starting with
"including".
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There are two ways to interpret that part.
1 / It gives an example of the categories of information that, if they relate to the
Product and disclosed to the Recipient, should fall within the definition of Confidential
Information.
2 / It gives an example of categories of information that, regardless of whether they
relate to the Product or are disclosed to the Recipient, should fall within the definition
of Confidential Information.
I suspect (but have never really asked) that most people intend to use the first
interpretation.
But I think the more reasonable interpretation is the second one.
And if I'm the Recipient (or if it's a mutual NDA where I'm mainly receiving
information), I don't like that interpretation at all.
So what I generally do is modify the clause so it reads, "including such information
constituting the financial, business, and technology information of the Discloser."
By using "such information," I'm ensuring the limitations from before the "including"
statement are applied to the examples that follow "including."
#contracts #inhousecounsel
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Joel Roy • Following
8h
Biotech Counsel & Part-Time Troublemaker @ Novartis IMI | Modern Counsel
35 under 35 | 2023 Legal Disruptor | Driven #Intrapreneur |
What about using "namely" instead of "including"?
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