Confidentiality contract between companies
The purpose of this contract is to protect certain sensitive information (financial data, trade secrets or technology) which are provided in the course of negotiations between companies such as negotiations prior to the execution of distribution, licensing, technology transfer, franchise, manufacturing, joint venture, mergers and acquisitions contracts and, in general, for any business agreement whatsoever which entails the prior exchange of confidential information. By virtue of this contract, the Parties are under the obligation to maintain confidentiality during the negotiations and even during a subsequent period which is stipulated in the Contract. The purpose of this type of Contract is that the other Party does not benefit from the information received or even convey same to the competition in the event that negotiations fail. By virtue of this Contract the Parties undertake to include in the contract clauses as to whether a Confidentiality Clause is under negotiation, in the same regard as the Contract itself; and likewise an undertaking is stipulated by which, in the event that the contract under negotiation is not executed, the Parties are similarly bound to maintain confidentiality for a given period of years. Model of Confidentiality Contract between Companies.