Example of a Sales Agreement with Confidentiality Clause

In this article, we will explore a practical example of a sales agreement that includes a confidentiality clause. Understanding how these agreements work can safeguard sensitive information in business transactions.
By Jamie

Example of a Sales Agreement with Confidentiality Clause

A sales agreement is a legally binding document that outlines the terms and conditions between a buyer and a seller for the sale of goods or services. Including a confidentiality clause in a sales agreement ensures that sensitive information shared between parties remains protected. Below is a structured example of such an agreement:

Sales Agreement
Date: [Insert Date]
Parties:

  • Seller: [Seller’s Name]
  • Buyer: [Buyer’s Name]

1. Description of Goods
The Seller agrees to sell and the Buyer agrees to buy the following goods:

  • [Description of Goods]
  • [Quantity]
  • [Price per Unit]

2. Payment Terms
The Buyer shall pay the Seller a total of [Total Amount] by [Payment Method] within [Number of Days].

3. Delivery Terms
The Seller agrees to deliver the goods to the Buyer’s location by [Delivery Date].

4. Confidentiality Clause
Both parties agree to the following terms regarding confidentiality:

  • 4.1 Definition of Confidential Information:
    Confidential Information includes all data, materials, and information disclosed by either party that is marked or identified as confidential.

  • 4.2 Obligation of Confidentiality:
    Both parties shall maintain the confidentiality of the Confidential Information and shall not disclose it to any third parties without the prior written consent of the other party.

  • 4.3 Exceptions:
    Confidential Information does not include information that is:

    • Publicly known at the time of disclosure
    • Rightfully obtained from a third party
    • Required to be disclosed by law or court order
  • 4.4 Duration of Confidentiality:
    The obligations of confidentiality shall remain in effect for [Number of Years] from the date of disclosure.

5. Governing Law
This Agreement shall be governed by the laws of [State/Country].

6. Signatures
By signing below, both parties agree to the terms and conditions outlined in this Sales Agreement.

Seller’s Signature: _______________________
Buyer’s Signature: _______________________

Conclusion

Including a confidentiality clause in a sales agreement is a critical step in protecting sensitive business information. Both parties should ensure they understand their obligations regarding confidentiality to foster trust and secure their interests in the transaction.