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Employment Confidentiality Agreement

Employment Confidentiality Agreement Template for England and Wales

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Key Requirements PROMPT example:

Employment Confidentiality Agreement

"I need an Employment Confidentiality Agreement for a senior software developer who will be joining our fintech startup in March 2025, with specific provisions for protecting our proprietary trading algorithms and client data."

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Document background
The Employment Confidentiality Agreement is essential for businesses operating in England and Wales who need to protect their sensitive information from unauthorized disclosure or misuse. This document is particularly crucial when employees have access to trade secrets, proprietary information, client data, or other confidential business information. The agreement sets out clear parameters for what constitutes confidential information, how it should be handled, and the consequences of unauthorized disclosure. It provides legal protection under English and Welsh law while ensuring compliance with relevant legislation including the Trade Secrets Regulations 2018 and Data Protection Act 2018.
Suggested Sections

1. Parties: Identifies the employer and employee with full legal names and addresses

2. Background: Sets out context of employment relationship and need for confidentiality

3. Definitions: Defines key terms including 'Confidential Information', 'Trade Secrets', and other relevant terminology

4. Scope of Confidential Information: Clearly defines what information is covered by the agreement including trade secrets, know-how, and business information

5. Employee Obligations: Core confidentiality obligations and permitted uses of information during and after employment

6. Duration: Period of confidentiality obligations and survival terms post-employment

7. Return of Confidential Information: Obligations regarding return/destruction of confidential materials upon termination

8. Permitted Disclosures: Circumstances where disclosure is permitted including legal requirements and whistleblowing

9. Breach and Remedies: Consequences of breach and available remedies including injunctive relief

Optional Sections

1. Intellectual Property Rights: Additional provisions for protection of intellectual property and inventions

2. Non-Competition: Restrictions on working with competitors and using confidential information in future employment

3. Third Party Information: Specific provisions for handling confidential information belonging to clients, suppliers, or other third parties

4. Data Protection Compliance: Specific obligations regarding personal data protection under UK GDPR and Data Protection Act

Suggested Schedules

1. Schedule 1: Categories of Confidential Information: Detailed list of specific types of confidential information covered by the agreement

2. Schedule 2: Authorized Third Parties: List of parties with whom confidential information can be shared and under what circumstances

3. Appendix A: Information Security Protocols: Specific procedures and protocols for handling and protecting confidential information

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Confidential Information
Trade Secrets
Intellectual Property
Company
Employee
Effective Date
Term
Group Companies
Permitted Purpose
Authorized Recipients
Personal Data
Business Information
Technical Information
Commercial Information
Marketing Information
Client Information
Proprietary Information
Restricted Information
Termination Date
Working Hours
Workplace
Competitive Business
Business Relationship
Material Interest
Unauthorized Disclosure
Security Requirements
Confidentiality Obligations
Third Party
Associated Person
Regulatory Authority
Clauses
Confidentiality Obligations
Non-Disclosure
Use of Confidential Information
Protection of Information
Return of Information
Data Protection
Intellectual Property Rights
Duration and Survival
Permitted Disclosures
Security Measures
Breach Notification
Remedies
Indemnification
Exception Clauses
Whistleblowing Provisions
Third Party Rights
Regulatory Compliance
Post-Employment Obligations
Record Keeping
Severability
Variation
Assignment
Waiver
Entire Agreement
Notices
Governing Law
Jurisdiction
Industries

Trade Secrets (Enforcement, etc.) Regulations 2018: Key legislation implementing the EU Trade Secrets Directive, defining trade secrets and their protection, and establishing remedies for misuse of confidential information

Data Protection Act 2018 and UK GDPR: Legislation governing personal data handling, classification of confidential information, and employee rights regarding their personal information

Employment Rights Act 1996: Framework legislation for employment relationships, including provisions about protected disclosures (whistleblowing) and affecting enforceability of confidentiality provisions

Public Interest Disclosure Act 1998: Legislation protecting whistleblowers and limiting confidentiality obligations where public interest is concerned; cannot be contracted out of

Common Law principles: Legal principles covering duty of confidentiality, implied terms in employment contracts, and reasonableness of restrictions

Competition Act 1998: Legislation that may affect restrictions on use of information and is relevant for market-sensitive information

Equality Act 2010: Ensures confidentiality provisions don't discriminate and is particularly relevant for NDAs in settlement agreements

Human Rights Act 1998: Legislation covering right to freedom of expression and privacy rights, which must be balanced against confidentiality obligations

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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