“To keep your secret is wisdom, but to expect others to keep it is folly.”

This is the reason why a strong NDA – a non-disclosure agreement is created between both the parties, internal and external. Being a business owner, there may be questions in your mind like,

What is an NDA for app development?
Why do people write NDA?
Why do I need an NDA for my app idea?

Being an app development company, we have come across a lot of clients unaware of the need for an NDA. The basic need of writing an NDA for app development is to safeguard your app idea and other confidential information that you share with third parties to prevent business losses.

To help you write an effective NDA, we have prepared an NDA template for app development for free. Download the template now.

Contents

Each NDA is unique but most of the NDA templates have common components. Here’s the list of 7 components to include.

7 Must-have Components of an Effective NDA

Since there is no single format to an NDA, you should be careful as to what important clauses to mention in the agreement. The below table defines the clauses that are necessary to include in your NDA.

Clause	Description
Confidential Information	Define what is meant under “confidential information” and what exactly constitutes to avoid any misunderstanding by the third party.
Parties	Apart from the disclosing and recipient parties, the NDA should clarify to whom the recipient party is allowed to disclose the information, for example, developers and quality assurance, engineers.
Duration	An NDA without a timeline is not valid. The timeline of any NDA should be realistic. Usually, 1-3 years is the basic timeframe of the agreement.
Use of Confidential	You need to mention here when the recipient party can or cannot use the confidentia
Information	information. Sometimes certain information is important to disclose as it involves legal obligation. This is not considered a violation.
Jurisdiction	Clearly defines the legal laws and under which court the jurisdiction will be transferred in case of any violation.
Remedies	This clause includes the violation charges and who will be responsible for legal fees in case the suit is filed.
No Obligation	There should be a clause of terminating the contract. However, termination should not be against any contractual laws.

Do You Want to Safeguard Your App Idea?

Being a leading app development company, we ensure to prepare an NDA with our clients to ensure the safety and security of the information shared.

Now that you are aware of what components should be included in the agreements, let us give you a few tips to write an effective NDA.

5 Tips for Creating an NDA

Here are 5 useful tips to keep in mind while drafting a non-disclosure agreement.

Use precise terms when defining confidential information to the parties. The information shared should be only limited to the information that is actually necessary to state the purpose. Specify the steps the opposite party must take within the required timeframe.
Be very specific in terms of what you want and do not make your NDA overly restrictive. For an NDA that is overly unreasonable, the court may declare the agreement invalid.
Limit your access to confidential information. For example, do not allow your employees with easy access to NDA without any authorization. This information has to be treated carefully instead of ordinary business project information.
Do not disclose or discuss any sensitive information before writing an NDA. the confidential information should be identifiable and avoid uncertainty.
Consider legal counsel to understand the governing law before contract execution. There may be common elements between jurisdictions, but laws governing trade secrets may not be consistent for all in terms of formalities.

If you are a startup and looking to develop an application, ensure to follow the above tips while crafting a well-defined NDA. Download our free NDA template and get started by filling in the information as per your requirements.

If you have any questions, feel free to contact us.