Subcontractor Confidentiality Agreement Template for Philippines

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Key Requirements PROMPT example:

Subcontractor Confidentiality Agreement

"I need a Subcontractor Confidentiality Agreement for my IT company in Manila, starting March 2025, that specifically covers cloud computing services and includes strong data privacy provisions compliant with Philippine law."

Document background
The Subcontractor Confidentiality Agreement is essential in business relationships where a contractor needs to share sensitive information with subcontractors while maintaining control over its use and dissemination. This document is particularly relevant in the Philippine business context, where growing industries like IT, BPO, and manufacturing regularly engage subcontractors. It ensures compliance with Philippine legislation, including the Data Privacy Act of 2012 and the Intellectual Property Code, while protecting trade secrets, proprietary information, client data, and other confidential materials. The agreement is commonly used when engaging third-party service providers, consultants, or specialized contractors who will have access to sensitive business information in the course of their work.
Suggested Sections

1. Parties: Identification of the main contractor and subcontractor, including full legal names, addresses, and company registration details

2. Background: Context of the relationship between the parties and purpose of the agreement

3. Definitions: Detailed definitions of key terms, especially 'Confidential Information', 'Permitted Purpose', 'Representatives', and other relevant terms

4. Scope of Confidentiality: Detailed description of what constitutes confidential information and the extent of protection

5. Obligations of Confidentiality: Specific duties and responsibilities regarding the handling and protection of confidential information

6. Permitted Disclosures: Circumstances under which confidential information may be disclosed, including to employees and professional advisors

7. Security Measures: Required security protocols and measures for protecting confidential information

8. Return or Destruction of Confidential Information: Procedures for handling confidential information upon termination or request

9. Term and Survival: Duration of the agreement and which obligations survive termination

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

11. General Provisions: Standard clauses including governing law, jurisdiction, entire agreement, and amendments

Optional Sections

1. Data Privacy Compliance: Specific provisions relating to compliance with the Data Privacy Act of 2012, used when confidential information includes personal data

2. Intellectual Property Rights: Additional provisions regarding IP ownership and protection, used when confidential information includes IP-sensitive material

3. International Transfer of Data: Provisions governing cross-border data transfers, used when parties are in different jurisdictions

4. Audit Rights: Rights to audit subcontractor's compliance with confidentiality obligations, used for high-risk or regulated industries

5. Insurance Requirements: Specific insurance obligations related to data protection, used in high-value or high-risk agreements

6. Electronic Information Security: Specific provisions for protecting digital information, used when confidential information is primarily stored or transmitted electronically

Suggested Schedules

1. Schedule 1 - Description of Confidential Information: Detailed categorization and description of the types of confidential information covered

2. Schedule 2 - Authorized Representatives: List of individuals authorized to receive and handle confidential information

3. Schedule 3 - Security Protocols: Detailed security measures and procedures to be followed

4. Schedule 4 - Approved Subcontractors: List of pre-approved third parties who may receive confidential information

5. Appendix A - Form of Confidentiality Undertaking: Template for individual confidentiality undertakings to be signed by employees/representatives

6. Appendix B - Data Breach Protocol: Procedures to be followed in case of actual or suspected breach

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

Relevant Industries

Information Technology

Manufacturing

Professional Services

Construction

Healthcare

Financial Services

Telecommunications

Research and Development

Defense

Energy

Pharmaceuticals

Business Process Outsourcing

Engineering

Consulting

Relevant Teams

Legal

Procurement

Operations

Information Technology

Risk and Compliance

Supply Chain

Project Management

Information Security

Vendor Management

Human Resources

Finance

Business Development

Relevant Roles

Project Manager

Procurement Manager

Legal Counsel

Contracts Manager

Chief Information Officer

Chief Technology Officer

Operations Director

Compliance Officer

Risk Manager

Supply Chain Manager

Vendor Relations Manager

Business Development Manager

Human Resources Director

Information Security Officer

Chief Financial Officer

Industries
Civil Code of the Philippines (Republic Act No. 386): Provides the fundamental principles of contracts, obligations, and civil relationships. Particularly relevant are provisions on contract formation, validity, and enforcement of confidentiality obligations.
Data Privacy Act of 2012 (Republic Act No. 10173): Regulates the collection, handling, and protection of personal information. Essential for ensuring compliance with data privacy requirements when confidential information includes personal data.
Intellectual Property Code of the Philippines (Republic Act No. 8293): Protects intellectual property rights including trade secrets and confidential business information. Provides legal framework for protecting proprietary information shared with subcontractors.
Labor Code of the Philippines (Presidential Decree No. 442): While primarily governing employment relationships, it's relevant for determining the nature of subcontractor relationships and associated obligations.
E-Commerce Act of 2000 (Republic Act No. 8792): Relevant when confidential information is shared or stored electronically, providing legal framework for electronic data transmission and security.
The Rules of Court: Procedural rules that become relevant in cases of breach of confidentiality agreements, particularly for enforcement and remedies.
Anti-Dummy Law (Commonwealth Act No. 108): Important when the subcontractor agreement involves foreign entities, as it regulates foreign participation in certain activities.
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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