Example Confidentiality Clause In Employment Contract

  • 2 min read
  • Jun 19, 2020

The example confidentiality clause in the employment contract is one that is accepted by all, which means that it is reasonable and its non-disclosure by a lawyer to any party to the litigation is not possible. It would be feasible for the parties in the employment litigation to seek the advice of a lawyer.

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The underlying issue at stake is the nature of the employer/employee relationship. A regular employee is bound by the terms of an employment contract and he cannot ask for a change in the contract or stop working on a date agreed in the contract. Similarly, an employee of a corporation or a sole proprietor cannot stop working on a date agreed in the contract.

However, an individual or a firm can still ask for a change in the terms of an employment contract. He cannot demand that the employment contract should contain certain changes that are contrary to the terms and conditions of the contract but can ask for an amendment of the terms or termination of the contract. However, such an amendment or termination of the contract should be permitted by the employer. The employer can only provide the reasons in writing to justify his refusal to grant the request.

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It is also observed that personnel documents are also considered as property of the employer. So, if the employer provides a document, it is assumed that the employer will give the document, whether it is an employment contract or personnel document. On the other hand, if the document is confidential, the employee cannot go about acquiring the document to have the information for his own advantage.

If you are a firm, then legal counsel should be consulted before the said documents are disclosed. A provision for the attorney of your choice for legal advice can be included in the employment contract. You can also choose the right lawyers who are capable of handling your specific case.

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Another area where the practice of example confidentiality clause is needed is in the labor relations related employment contracts. However, this particular area has not received much attention until now. For instance, an agreement to treat employees differently in the wages is a separate matter and is not covered by the protection afforded to the employee. The Labor Relations Act has provisions for the same, but these provisions are not used in different countries.

Therefore, it is a similar situation in the United States where this concept is applied. The result is that an individual is bound by a contract with an employer, but he is not bound by a contract with an employee. If the individual asks for the terms of an employment contract, he is bound by the terms of the contract, but not by the terms of the employee’s contract.

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There are certain cases that are ruled as non-disclosure because of their factual details. It is generally noted that for these cases, the absence of an example confidentiality clause in the employment contract is a clear case of non-disclosure.

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