# Disclosing Party > Receiving Party_______________________________________Name, surname, title **Term:** Disclosing Party **Last updated:** 2026-07-29 ## Definition ## What Disclosing Party Means in a Contract The Disclosing Party is the contracting entity that originates or owns the confidential information being shared under an agreement, most commonly a non-disclosure agreement or a confidentiality clause embedded within a broader commercial contract. This role sits opposite the Receiving Party, and the two labels together establish a clear framework for who is giving out sensitive material and who is obligated to protect it. Understanding this designation matters because confidentiality obligations, remedies, and exceptions are typically drafted around the Disclosing Party's interests. The contract will usually specify what qualifies as protected information, how long confidentiality lasts, and what happens if the Receiving Party fails to honor its duties. Without a clearly named Disclosing Party, enforcement becomes ambiguous. In some agreements, particularly mutual non-disclosure agreements, both parties act as Disclosing Party and Receiving Party simultaneously, since each side shares information with the other. In one-directional agreements, only one party discloses, and the roles remain fixed throughout the relationship. ## How Disclosing Party Is Defined or Measured Most contracts define the Disclosing Party in the preamble or definitions section, tying the term to a named individual, company, or entity identified at the start of the document. This definition is not measured numerically but is instead fixed by identity, meaning the contract states precisely which signatory holds this role for the duration of the agreement or for specific transactions. Some agreements allow the Disclosing Party designation to shift depending on context, such as when a parent company and its subsidiaries are all treated as potential disclosers under a group-wide confidentiality policy. In these cases, definitions often extend to affiliates, employees, or agents acting on behalf of the Disclosing Party, broadening who can trigger the confidentiality obligations. - Identification by name, title, or corporate entity in the signature block or recitals. - Sometimes extended to include representatives, subsidiaries, or agents. - May be static for the whole contract or reassigned for specific disclosures within a mutual agreement. ## Where Disclosing Party Appears in Agreements The term appears most prominently in non-disclosure agreements and confidentiality clauses, but it also surfaces in licensing agreements, joint venture contracts, employment agreements, and technology development contracts where proprietary information changes hands. Industries handling sensitive data or trade secrets, such as