Confidentiality
The obligation to protect sensitive information from unauthorized disclosure.
Confidentiality obligations require parties to keep certain information private and use it only for authorized purposes. These obligations can arise from express contract terms (NDAs), implied duties (fiduciary relationships), or statutory requirements.
Confidentiality clauses typically define what constitutes confidential information, how it must be protected, permitted disclosures (e.g., to legal advisors), and the duration of the obligation.
Example
An employee must keep proprietary customer data confidential both during and after employment.
Related Terms
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