The Vermont non-disclosure agreement (NDA) is used to protect trade secrets and other confidential information. The contract is entered into by two (2) parties, a disclosing party, and a receiving party. The disclosing party is often an employer who wishes to prevent valuable information from entering the hands of competing businesses. Confidential information can be described as any information or material that has potential commercial value. Once the document has been signed, it is binding, and the NDA will remain in effect until the information it protects becomes public knowledge or the disclosing party releases the receiving party via written notice.
Laws – Chapter 143 : Trade Secrets
Misappropriation – § 4603. Damages A complainant may recover damages in a court of law should misappropriation occur. Reasonable attorneys’ fees may also be awarded to the prevailing party.
Trade Secret Definition (§ 4601. Definitions (3)) – “Trade secret” means information, including a formula, pattern, compilation, program, device, method, technique, or process, that:
(A) derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use; and
(B) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy. (Added 1995, No. 90 (Adj. Sess.), § 1; amended 2013, No. 199 (Adj. Sess.), § 17.)