Confidential Disclosure Agreement for Saudi Arabia

Confidential Disclosure Agreement Template for Saudi Arabia

A comprehensive confidentiality agreement governed by Saudi Arabian law, designed to protect sensitive business information exchanged between parties. This agreement incorporates provisions compliant with Saudi commercial regulations, Islamic law principles, and recent data protection requirements under the Saudi Personal Data Protection Law (PDPL). It includes detailed obligations for maintaining confidentiality, permitted uses of information, security measures, and enforcement mechanisms suitable for use in Saudi Arabian jurisdiction, while accommodating both local and international business practices.

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What is a Confidential Disclosure Agreement?

The Confidential Disclosure Agreement (CDA) is a crucial legal instrument used when parties need to share sensitive business, technical, or proprietary information while ensuring its confidentiality. This document is specifically tailored for use under Saudi Arabian law, incorporating compliance with local regulations, including the Saudi Personal Data Protection Law, Anti-Cyber Crime Law, and Islamic law principles. It is commonly used in business negotiations, due diligence processes, joint ventures, and other commercial relationships where confidential information needs to be protected. The agreement defines what constitutes confidential information, establishes clear obligations for its protection, and provides remedies in case of breach, all within the framework of Saudi Arabian legal requirements.

What sections should be included in a Confidential Disclosure Agreement?

1. Parties: Identification of the disclosing and receiving parties, including full legal names, registration numbers, and addresses

2. Background: Context of the agreement, purpose of sharing confidential information, and the relationship between the parties

3. Definitions: Clear definitions of key terms, especially 'Confidential Information', 'Permitted Purpose', 'Representatives', and 'Affiliates'

4. Scope of Confidential Information: Detailed description of what constitutes confidential information under the agreement

5. Obligations of Confidentiality: Core confidentiality obligations, including duty of care, non-disclosure requirements, and security measures

6. Permitted Use and Disclosure: Specified purposes for which confidential information may be used and circumstances under which disclosure is permitted

7. Term and Survival: Duration of the agreement and survival of obligations after termination

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

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

10. Governing Law and Jurisdiction: Specification of Saudi Arabian law as governing law and jurisdiction for dispute resolution

11. General Provisions: Standard provisions including amendments, severability, and entire agreement

What sections are optional to include in a Confidential Disclosure Agreement?

1. Data Protection Compliance: Additional provisions for compliance with Saudi PDPL when personal data is involved

2. Electronic Information Security: Specific provisions for protecting electronic data and compliance with Saudi cybersecurity requirements

3. Third Party Rights: Provisions regarding rights of affiliates or third parties to enforce the agreement

4. Islamic Law Compliance: Specific provisions ensuring compliance with Sharia principles where relevant

5. Export Control: Provisions dealing with export control regulations when technical data is involved

6. Competitive Activities: Non-competition provisions if the confidential information relates to competitive business activities

7. Assignment and Succession: Terms regarding the transfer of rights and obligations, particularly relevant for long-term agreements

What schedules should be included in a Confidential Disclosure Agreement?

1. Schedule 1 - Description of Confidential Information: Detailed list or categories of confidential information covered by the agreement

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

3. Schedule 3 - Security Protocols: Specific security measures and protocols for handling confidential information

4. Schedule 4 - Permitted Purpose Details: Detailed description of the specific purposes for which confidential information may be used

5. Appendix A - Form of Acknowledgment: Template for representatives to acknowledge their confidentiality obligations

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

Jurisdiction

Saudi Arabia

Publisher

Genie AI

Document Type

Agreement Contract

Cost

Free to use

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