Non-Disclosure / Non-Compete Agreement For Prospective Partner(s)

[+METHOS]

I would like to approach a couple of people to discuss a business idea and the possibility of partnership. However, before doing so, I would like to protect myself with a NDA/NCA agreement.

My questions are as follows:

• Will I need/Should I consider both documents - or will a simple NDA suffice?
• Most of these general forms are freely available and can be downloaded via the internet from varying websites/sources - anyone have any recommendations regarding source and/or willing to supply one that fits the aforementioned criteria?
• Should my State of residence be considered prior to seeking out, both, NDA and NCA forms?

Thank you.
-M

 

Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.

[Darkside]

Re: Non-Disclosure / Non-Compete Agreement For Prospective Partne

Actually, I wouldn't bother with either. Non-disclosure and non-compete agreements are fairly useless when it comes to protecting your ideas. For instance, when it comes to non-compete agreements, some states don't even recognize them, like California for instance, so if someone signs a non-compete agreement with you and starts a competing business immediately in California, there's nothing you can do about it because California law will always side with them. Also, non-disclosure agreements almost never hold up in court either.

 

[CommonCents]

Re: Non-Disclosure / Non-Compete Agreement For Prospective Partne

They cost you nothing to do, and won't hurt. They are more a prevention rather then a remedy. If you don't have someone sign, then you are basically inviting them to commit shenanigans. If you are dealing with a current/future competitor make them agree to swapping equal information. Many competitors use financial firms to inquire about others for acquisition and they gain tons of good info.

 

[+METHOS]

Re: Non-Disclosure / Non-Compete Agreement For Prospective Partne

Thanks for the help, guys. I appreciate it.

 

Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.

[Steve K]

Re: Non-Disclosure / Non-Compete Agreement For Prospective Partne

you need a non compete drafted by an attorney customized for your exact entity.
a generic NDA is worthless... very easy to get around it

 

[Steve K]

Re: Non-Disclosure / Non-Compete Agreement For Prospective Partne

however, it is better than nothing