Startup Reality Distortion #3: The Fallacy Of the Non-Disclosure Agreement (NDA)

onstartups.com

Startup Reality Distortion #3: The Fallacy Of the Non-Disclosure Agreement (NDA). In my role as angel investor and informal startup advisor, the issue of NDAs (non-disclosure agreements) comes up about once or twice a month. .

When is a Startup Non-Disclosure Really Required?

Startup Professionals Musings

Entrepreneurs often get the advice from their lawyers and friends to always get a Non-Disclosure Agreements (NDA or CDA) signed before disclosing anything about their new venture. I recommend a mutual non-disclosure, with a non-compete clause, for protection in both directions.

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Startup Non-Disclosure Agreements are Overrated

Startup Professionals Musings

Entrepreneurs often get the advice from their lawyers and friends to always get a Non-Disclosure Agreements (NDA or CDA) signed before disclosing anything about their new venture. I recommend a mutual non-disclosure, with a non-compete clause, for protection in both directions.

NDA 1

Key Contracts Every Business Must Use

YoungUpstarts

Think about it – when is the last time a business didn’t benefit from having smart employees or strong customer relationships? When a business needs to share that information, it is important to protect it from unnecessary disclosure. Employees.

Every Startup Needs Intellectual Property To Thrive

Startup Professionals Musings

Trade secrets with employment agreement. Companies often use non-patentable but important trade secrets to run their business. These trade secrets need to be documented and coupled with an employment agreement, to keep them from migrating to your competitors when employees move on.

Protecting Your Business Idea

YoungUpstarts

Anytime you decide to bring in someone who does not have a stake in your business idea you should have them sign a binding Non Disclosure Agreement or NDA before you tell them or show them a thing. Non-compete Agreements Before and After Hiring.

8 Intellectual Property Items Every Startup Needs

Startup Professionals Musings

Trade secrets with employment agreement. Companies often use non-patentable but important trade secrets to run their business. These trade secrets need to be documented and coupled with an employment agreement, to keep them from migrating to your competitors when employees move on.

MA: Lets Nix The Non-Compete Here So We Can Compete Better Everywhere

OnStartups

The Boston Globe reported this morning that Governor Deval Patrick will propose today a sweeping legislation to make it easier for workers in technology, life sciences, and other industries to move from job to job by banning the non-compete agreements companies use to prevent employees from jumping to rivals. There''s no evidence that abolishing non-competes has hurt them — quite the contrary. Here''s the irony: Non-competes do limit competition.

Why First Round Capital funded a lawsuit

Redeye VC

But we had signed a non-disclosure agreement with Best Buy – and they had assured us the information would remain confidential and was critical to moving forward. The board ultimately agreed to share the model – knowing we were protected by our confidentiality agreement. We needed to send a message to Best Buy – and every other large company – that they can’t blatantly violate agreements and steal ideas from startups. You can imagine the scene in the board room.

Three Awesome Tools for Small Businesses and Startups

crowdSPRING Blog

This frees up additional time for other employees to focus on other tasks. It’s not easy to start and run a successful business. After all, business owners must manage many different things and wear different hats in operating their business.

Social Media Accounts are Intellectual Property

Startup Professionals Musings

Trade secrets with employment agreement. Companies often use non-patentable but important trade secrets to run their business. These trade secrets need to be documented and coupled with an employment agreement, to keep them from migrating to your competitors when employees move on.

Six Criteria for Outsourcing the Right Processes

Startup Professionals Musings

Near-shore and local outsourcing alternatives are manageable with contracts and non-disclosure agreements. On the other hand, if it is maintenance and testing on non-core software, use the lowest cost solution.

No, I Won't Sign Your NDA

Inc Startups

The Non-Disclosure Agreement is a staple of business everywhere. Keep the NDA in your pocket for future contractors, employees, and business partners. I'm in the business of backing great teams, not stealing from them. In other words, you're going to have to trust me.

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Six Key Factors in the Right Outsourcing Decision

Startup Professionals Musings

Near-shore and local outsourcing alternatives are manageable with contracts and non-disclosure agreements. On the other hand, if it is maintenance and testing on non-core software, use the lowest cost solution.

Guide to Trade Secret Law

Blogtrepreneur | Entrepreneur Blog

Actionable confidentiality is most reliably accomplished by making employees sign specific non-disclosure agreements regarding the trade secret. #5: A general employment contract doesn’t automatically serve as a confidentiality agreement that protects trade secrets.

Don’t Ask Known Investors to Sign Non-Disclosures

Startup Professionals Musings

Entrepreneurs often get the advice from their lawyers and friends to always get a Non-Disclosure Agreements (NDA or CDA) signed before disclosing anything about their new venture. I recommend a mutual non-disclosure, with a non-compete clause, for protection in both directions.

What Start-Ups Need To Know About Employment Law

YoungUpstarts

From hiring your first employees to managing an entire staff, employment law runs the spectrum of employer-employee interactions. Employee Discussions of Hours, Wages or Working Conditions. Some companies even put this policy in writing in their employee handbooks.

The Case Against Non-Compete Agreements

Inc Startups

But making employees sign draconian contracts isn''t the way to do it. Thus you require employees to sign non-compete agreements so you can protect your trade secrets and your talent pool. That all depends on what kind of employees you want.

To NDA or not to NDA?

Growthink Blog

That being said, a Non-Disclosure Agreement (NDA) is a legal document used to protect ideas, know-how, and other secret sauce under a variety of circumstances. Are you hiring an employee? have the appropriate non-disclosure provisions for your state.

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5 Excuses Costing You Time & Money

Inc Startups

Letting go of an employee is one of the hardest things a manager can do. You know it's time to do something about that employee whose performance is consistently lacking. They will endure incredible amounts of frustration and hassle instead of retraining or replacing a problem employee.

4 Stupid Legal Mistakes That Can Kill Your Startup

ReadWriteStart

The first step is to ask anyone who has access to your proprietary knowledge to sign non-compete and non-disclosure agreements before you reveal anything. Lawsuits by unhappy employees can kill a startup before it even gets off the ground.

The First Rule of Stealth Mode Is.

Inc Startups

There was one strange aspect of the situation: No one--well, no one who hadn''t signed a non-disclosure agreement or hadn''t agreed to a press embargo--knew what the company was building. You definitely talk about stealth mode.

SELLING YOUR COMPANY? THE 5 BIGGEST LEGAL MISTAKES

Scott Edward Walker

Mistake #1: Not Negotiating/Executing a Confidentiality Agreement. A well-drafted confidentiality agreement will also prohibit the potential buyer from hiring and/or soliciting the company’s employees. (I outside the four corners of the acquisition agreement.

Nuts & Bolts of Intellectual Property for New Startups

Gust

Most traditional, bricks-and-mortar businesses have substantial, often enormous hard assets, such as raw materials and supplies, work-in-process, inventory, manufacturing equipment, real estate and more, as well as armies of employees. This is often referred to in the creative community as a “ work-for-hire agreement.”. These often go by a long-winded title such as “Confidential Information and Invention Assignment Agreement.”

Sell Your Business for More Than It's Worth

Inc Startups

Most business owners live out of their business in order to decrease their tax liability so many [of them] are running all kinds of personal expenses and non-recurring expenses through their business, such as travel, meals, entertainment, repairs, etc.,

Idea Non-Disclosure Demands Kill Investor Interest

Startup Professionals Musings

Entrepreneurs often get the advice from their lawyers and friends to always get a Non-Disclosure Agreements (NDA or CDA) signed before disclosing anything about their new venture. I recommend a mutual non-disclosure, with a non-compete clause, for protection in both directions.

NDA 15

Are You Really Safeguarding Your Startup?

YoungUpstarts

While you can get non disclosure agreements printed out, having people sign these before you meet with them can be difficult. Put A Stop To Employee Theft. Petty cash and till money are two things that often get taken by employees, so keep your eye on them.

Do It Right The First Time, Part II: Visit the Doctor or House Call?

Gust

Readers can anticipate my next point in continuing the analogy: It makes no more sense for a non-lawyer to prepare fundamental legal, governance, equity and intellectual property documents than it would for a patient to self-diagnose and begin taking prescription-strength antibiotics or other medications. Offer letters for employees. Independent contractor or consulting agreements. Advisory board agreements. Small-dollar-amount, routine commercial agreements.

3 Things to Consider When Staffing a Software Development Project

mashable.com

You can deal directly with full-time or freelance/contracted employees, or you can outsource using local or offshore development firms. Skills might not be applicable to next project Employee turnover (loss of company-provided training and familiarity) 2.

'Getting Sued Was a Lucky Break'

Inc Startups

Neither had signed a non-compete or non-disclosure agreement, so the lawsuit by their former employer came as a complete surprise. Today, the company has 24 employees and has saved its clients a total of $40 million in parcel shipping costs, Byrd says.

Best Way to Protect Your Brilliant Ideas

Inc Startups

You must be able to prove facility access was restricted, files were locked, access to servers was limited, passwords were changed frequently, effective nondisclosure agreements were in place. Jeff: I sign non-disclosure agreements all the time.

Defending Groundbreaking Ideas From Killer Competition

YoungUpstarts

Remember, though, it is only good for a year, after which you will need to convert it into a non-provisional application. If possible, consider using a non-disclosure agreement. by Lewis Robinson. It’s finally happened.

HOW TO: Build an App for Your Small Business

mashable.com

When you’re working with a freelance or contract developer, make sure you have all your paperwork — from non-disclosure agreements to invoices and beyond — signed and sealed early in the process. Facebook Gets Its First Non-Profit Gi.

Meet 3 Start-ups Behind Apple's New Maps

Inc Startups

TechCrunch reported: "So far Apple and Poly9 have not confirmed the acquisition, but French-Canadian reporter Pierre Couture of cyberpresse.ca (via Google Translate) reports that all but two of the employees are now relocated in Silicon Valley and that they are zipped up due to non-disclosure agreements." Inside Apple's strategy: How the company built its new maps feature by making a strategic partnership and spending hundreds of millions on acquisitions.

Someone Stole My Startup Idea – Part 3: The Best Defense is a Good IP Strategy

Steve Blank

non-public technology. A contract is a binding legal agreement that is enforceable in a court of law. a Non Disclosure Agreement gives you certain rights to protection of your confidential information.) Your invention must be “ non-obvious.” The test for non-obvious is: given the prior art at the time of the invention, would a typical engineer 1) identify the problem, and 2) solve it with the invention?

Selling Your Business? Get Your Buyer's Attention

Inc Startups

A few quick exercises can help you develop the right content for a complete selling memo, along with advice for how to distribute the information to prospective buyers and why and how to obtain confidentiality agreements beforehand.

Startup Blog: Patents and Investors - Mistakes to Avoid to Attract.

Taffy Williams

This applies not only to intellectual property, but also to important documents such as Non-Disclosure Agreements (NDAs), employee contracts and joint development agreements. Startup Blog Steps to consider to start and grow a company.

[Singapore] A Look Inside Facebook’s Singapore Office

YoungUpstarts

A PR minder told us that prior to this tour visitors were required to sign a non-disclosure agreement form before being allowed into its offices, with photography strictly prohibited.

Taking the Mystery Out of Mergers

Inc Startups

You've been working on a deal for months, so you might be surprised to know how little your employees understand about it. I don’t want my employees to know! You might be surprised by the number of employees who won’t understand what’s going on, much less why.

To Outsource or Not to Outsource Software

Startup Professionals Musings

Near-shore and local outsourcing alternatives are manageable with contracts and non-disclosure agreements. On the other hand, if it is maintenance and testing on non-core software, use the lowest cost solution.