Confidentiality Agreement Penalty Clause

The best way to do this is to identify in a very specific way only the information to be shared, to list the documents in an annex to the NDA, and then to make them available in a format that leaves no doubt about their confidentiality, for example by indicating them with a watermark or a “Confidential under NDA” stamp. In addition, it is convenient to only allow access to confidential information in a secure manner (for example.B. a reserved cloud that is only accessible through an individual username and password given to authorized persons). Penalty clauses under Dutch law are contractual provisions that allow the parties to sanction each other if one of them violates a contractual obligation. These penalty clauses usually provide for a sum of money (the fine) to be paid to the innocent party by a party who violates the contract. There is another advantage when a penalty clause is inserted in the NDA: if the beneficiary party opposes the clause or requests its reduction during the negotiations, this may indicate a reservation of mental retardation and, in any case, is symptomatic of the fear of having to pay this amount which would have no reason to exist, whether the party intended to strictly comply with contractual obligations. . . .