Non Disclosure Agreement Compensation Template for Germany

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Key Requirements PROMPT example:

Non Disclosure Agreement Compensation

"I need a Non Disclosure Agreement Compensation for engaging a technology consultant from a German software firm who will be reviewing our proprietary AI algorithms and receiving monthly compensation of €5,000 for maintaining confidentiality, starting March 1, 2025."

Document background

The Non Disclosure Agreement Compensation is designed for situations where parties need to exchange valuable confidential information under German law, and the receiving party is to be compensated for their confidentiality obligations. This type of agreement is particularly relevant in consulting arrangements, specialized advisory services, or situations involving high-value trade secrets where the receiving party's confidentiality obligations are substantial enough to warrant compensation. The document ensures compliance with the German Trade Secrets Act (GeschGehG) and relevant provisions of the German Civil Code (BGB), while establishing clear terms for both the protection of confidential information and the associated compensation structure. It is commonly used in technology transfers, specialized consulting engagements, and strategic partnerships where the value of the confidential information necessitates a formal compensation arrangement.

Suggested Sections

1. Parties: Identification of the disclosing and receiving parties, including full legal names, addresses, and registration details as required under German law

2. Background: Context of the agreement, relationship between parties, and purpose of sharing confidential information

3. Definitions: Clear definitions of key terms, especially 'Confidential Information', 'Trade Secrets', 'Compensation', and other relevant terms in compliance with GeschGehG

4. Scope of Confidential Information: Detailed description of what constitutes confidential information under the agreement

5. Obligations of Confidentiality: Core confidentiality obligations, including handling, protection, and non-disclosure requirements

6. Permitted Uses: Specific permitted uses of the confidential information and any restrictions

7. Compensation Structure: Details of compensation for maintaining confidentiality, including payment terms, calculation methods, and payment schedule

8. Security Measures: Required security measures for protecting confidential information in compliance with GeschGehG

9. Return or Destruction of Confidential Information: Procedures for returning or destroying confidential information upon request or termination

10. Term and Termination: Duration of the agreement and termination provisions

11. Breach and Remedies: Consequences of breach, including penalties and remedies under German law

12. General Provisions: Standard legal provisions including governing law, jurisdiction, and severability

13. Execution: Signature blocks and execution requirements

Optional Sections

1. Data Protection Provisions: Additional provisions when confidential information includes personal data subject to GDPR

2. Employee and Subcontractor Obligations: Additional provisions when the receiving party needs to share information with employees or subcontractors

3. Intellectual Property Rights: Specific provisions regarding IP rights when confidential information includes patentable or copyrightable material

4. Export Control: Provisions for international data transfer restrictions when applicable

5. Non-Competition Provisions: Additional restrictions on competitive activities, if permissible under the specific circumstances

6. Insurance Requirements: Provisions requiring specific insurance coverage for confidential information protection

7. Audit Rights: Provisions allowing the disclosing party to audit the receiving party's compliance

Suggested Schedules

1. Schedule 1: Description of Confidential Information: Detailed list or categories of confidential information covered by the agreement

2. Schedule 2: Compensation Details: Detailed compensation structure, including calculation methods, payment schedules, and any variable components

3. Schedule 3: Security Protocols: Specific technical and organizational measures required for protecting confidential information

4. Schedule 4: Authorized Personnel: List of authorized individuals who may access the confidential information

5. Schedule 5: Reporting Requirements: Templates and procedures for required reporting related to confidential information handling and compensation

6. Appendix A: Form of Confidentiality Undertaking: Template for confidentiality undertakings to be signed by employees or subcontractors

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Technology & Software

Pharmaceutical & Healthcare

Manufacturing & Industrial

Financial Services

Professional Services

Research & Development

Biotechnology

Aerospace & Defense

Chemical Industry

Automotive

Energy & Utilities

Telecommunications

Consumer Electronics

Medical Devices

Intellectual Property

Relevant Teams

Legal

Compliance

Research and Development

Information Security

Corporate Development

Executive Leadership

Finance

Risk Management

Intellectual Property

Business Development

Innovation

Project Management

Relevant Roles

Chief Executive Officer

Chief Technology Officer

Chief Financial Officer

Legal Counsel

Compliance Officer

Research Director

Technical Consultant

Strategic Advisor

Business Development Manager

Innovation Manager

Project Manager

Intellectual Property Manager

Information Security Officer

Risk Manager

Contract Manager

Corporate Development Director

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Alex Denne

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