Do I Need an NDA for App Development (With Template)?

Today we’re going to share our own thoughts and experience on this matter. First, let’s start with figuring out what an NDA for app development is.

ℹ️ Non-Disclosure Agreement For a Mobile App: FAQ

Before we’ll share with you our NDA template for app development, let’s take a look at the most frequently asked questions and our answers to them.

Question # 1: What is an NDA?

The abbreviation NDA stands for the Non-Disclosure Agreement. Actually, this legal contract can be used in any sphere where the special protection of an intellectual property is needed.

The main purpose of the NDA for app development is to secure your idea, trade secrets and other confidential information that, if revealed to third parties, may lead to business losses.

Question # 2: With whom should I sign the Non-Disclosure Agreement for my mobile app?

The list of potential parties is quite big. In the broad sense, you have to sign the NDA with anyone who may have access to any confidential information regarding your mobile application development.

Tip: don’t set unrealistic penalties (like 50,000 euros) for the violation of your mobile application development agreement. The best option is to define that such cases will be simply regulated by law.

So, these were must-have elements of an NDA template for app development. Pay attention to them when you are signing your next agreement!

It seems that we answered the question “What is an NDA?” and now are ready to move to the reasons why you especially may need one.

✅ Top 5 Reasons to Sign a Non-Disclosure Agreement for App Development

Reason # 1: To Protect Your Trade Secrets 🤫

This kind of information is of an exceptional importance for your business. For example, this may be your own methods of doing things, specific working processes inside your company, marketing schemes, development/scaling strategies and so on.

🔐 The General Data Protection Regulation

Since we’re talking about the data protection, we couldn’t help but mention EU’s new General Data Protection Regulation. It replaces the previous directive that was established in 1995.

First of all, your app should be in compliance with it. The new directive comes into force from May 25th, 2018.

Second, what does it have to do with your NDA?

Since the company (according to the GDPR) is obliged to store the data of users in secret, the contractor is also obliged to follow these rules and consider the same data confidential.

If needed, you can read more about the key changes of the new GDPR on the official website.

📝 Our Template

As we promised earlier, our Stormotion team prepared the NDA template for app development that you’re free to use.

You can check and download it here!

💡 Conclusion

So these were our insights on what an NDA is and how to sign one so as protect your business in advance!

Let’s briefly remember the main tips:

1. Clearly specify what you consider as a confidential information (and don’t forget to include your trade secrets).
2. Don’t set too long duration — 1-3 years are usually enough.
3. Define which court will have the jurisdiction regarding your NDA for app development. Decide who will pay the legal fees. This is especially important if you’re cooperating with someone from another country.
4. Don’t set unrealistic penalties — try to regulate possible remedies by law.
5. Leave the option to terminate the agreement at any moment if it doesn’t violate the law.

Hope this article was useful! Any questions left? Hit the button below and we’ll help you!