The Texas non-disclosure agreement (NDA) is a document that is used specifically for the protection of an employer’s trade secrets. The employee will often be required to sign the document as a condition for employment. By inscribing their signature, they promise to not expose the employer’s trade secrets to third (3rd) parties or competing companies. If they fail to protect the information, they can be liable to pay damages caused by misappropriation as well as lawyer fees should the case be taken to court.


Misappropriation – Sec. 134A.004 A complainant is entitled to receive compensation for misappropriated trade secrets. They may also be able to recover attorney fees should the misappropriation be made in bad faith (Sec. 134A.005)

Trade Secret Definition (Sec. 134A.002. DEFINITIONS)

“Trade secret” means all forms and types of information, including business, scientific, technical, economic, or engineering information, and any formula, design, prototype, pattern, plan, compilation, program device, program, code, device, method, technique, process, procedure, financial data, or list of actual or potential customers or suppliers, whether tangible or intangible and whether or how stored, compiled, or memorialized physically, electronically, graphically, photographically, or in writing if:

(A) the owner of the trade secret has taken reasonable measures under the circumstances to keep the information secret; and

(B) the information derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable through proper means by, another person who can obtain economic value from the disclosure or use of the information.