Trade Secret Agreement Template for United Arab Emirates

A comprehensive legal agreement governed by UAE law, specifically aligned with Federal Law No. 11 of 2021 on Industrial Property Rights, designed to protect confidential business information and trade secrets shared between parties. This document establishes legally binding obligations for maintaining confidentiality, implementing security measures, and defining permitted uses of trade secrets. It includes specific provisions for compliance with UAE regulations, enforcement mechanisms, and remedies available under UAE law, making it particularly suitable for businesses operating within or conducting transactions in the United Arab Emirates.

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What is a Trade Secret Agreement?

The Trade Secret Agreement is essential for businesses operating in the UAE who need to protect their valuable proprietary information when sharing it with other parties. This document is particularly relevant in light of the UAE's Federal Law No. 11 of 2021 on Industrial Property Rights, which provides enhanced protection for trade secrets. The agreement should be used whenever confidential business information, technical know-how, or other proprietary information needs to be shared with external parties, employees, or contractors. It includes detailed provisions for maintaining confidentiality, security measures, permitted uses, and consequences of breach, all aligned with UAE legal requirements. The document is especially important given the UAE's position as a global business hub and its increasing focus on knowledge-based industries and intellectual property protection.

What sections should be included in a Trade Secret Agreement?

1. Parties: Identification of all parties to the agreement, including full legal names, addresses, and registration details

2. Background: Context of the agreement, relationship between parties, and purpose of sharing trade secrets

3. Definitions: Detailed definitions of Trade Secrets, Confidential Information, Permitted Purpose, Authorized Representatives, and other key terms

4. Scope of Protected Information: Specific description of what constitutes trade secrets and confidential information under the agreement

5. Obligations of Receiving Party: Detailed responsibilities for protecting trade secrets, including security measures, access restrictions, and usage limitations

6. Permitted Disclosures: Circumstances under which trade secrets may be shared and procedures for such sharing

7. Security Measures: Specific security protocols and measures required to protect the trade secrets

8. Term and Survival: Duration of the agreement and obligations that continue after termination

9. Return or Destruction of Information: Procedures for returning or destroying trade secrets upon termination or request

10. Breach and Remedies: Consequences of breach, including injunctive relief and damages

11. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for disputes

What sections are optional to include in a Trade Secret Agreement?

1. Employee and Contractor Obligations: Additional provisions for when receiving party needs to share information with employees or contractors

2. Special Industry Requirements: Specific provisions required for regulated industries or special sectors

3. Digital Security Measures: Detailed IT and cybersecurity requirements for digital information

4. Audit Rights: Rights and procedures for auditing compliance with security measures

5. Competition Law Compliance: Specific provisions ensuring compliance with UAE competition laws

6. Insurance Requirements: Obligations to maintain specific insurance coverage for trade secret protection

7. Third Party Rights: Provisions regarding rights of third parties who own or have interest in the trade secrets

8. Export Control: Provisions for trade secrets subject to export control regulations

What schedules should be included in a Trade Secret Agreement?

1. Schedule 1 - Protected Information: Detailed list and description of specific trade secrets covered by the agreement

2. Schedule 2 - Authorized Representatives: List of individuals authorized to access and handle the trade secrets

3. Schedule 3 - Security Protocols: Detailed security procedures and requirements for handling trade secrets

4. Schedule 4 - Permitted Purpose: Detailed description of authorized uses of the trade secrets

5. Appendix A - Information Classification Guide: Guidelines for classifying different types of confidential information

6. Appendix B - Incident Response Plan: Procedures for responding to potential or actual breaches

7. Appendix C - Certificate of Destruction: Template for documenting destruction of trade secrets

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

Cost

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What is a Trade Secret Agreement?

What sections should be included in a Trade Secret Agreement?

What sections are optional to include in a Trade Secret Agreement?

What schedules should be included in a Trade Secret Agreement?

Authors

Alex Denne

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