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Employee Confidentiality Deed

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EMPLOYEE CONFIDENTIALITY DEED

This Employee Confidentiality Deed (the Deed) is made on between Employer Name: of (Employer) and Employee Name: of (Employee).

Personal Information

Position Information

Employment History

Education

References

Confidentiality Deed Terms

1. Definition of Confidential Information. For the purposes of this Deed Confidential Information means all technical, commercial, financial, and other business information of the Employer, whether oral, written, electronic or stored, including but not limited to: trade secrets, financial data, customer lists, pricing, supplier and vendor identities, product designs, software, formulas, processes, business plans, projections and any information marked or reasonably understood to be confidential.

2. Exclusions. Confidential Information does not include information that: (a) is or becomes public other than by breach of this Deed; (b) was known to the Employee prior to disclosure without breach of a confidentiality obligation; (c) is rightfully received from a third party without restriction; or (d) is independently developed by the Employee without use of Confidential Information.

3. Obligations. The Employee covenants that during and after employment the Employee will not use, disclose, copy, publish or otherwise make available Confidential Information except as strictly necessary to perform duties for the Employer. The Employee will take all reasonable steps to safeguard Confidential Information and will not remove Confidential Information from the Employer's premises without express written authorization.

4. Permitted Disclosure. Disclosure of Confidential Information to legal counsel, auditors, or as required by law is permitted provided the Employee gives prompt written notice to the Employer and cooperates to obtain protective measures where reasonable.

5. Return of Materials. Upon termination of employment or at the Employer's request the Employee will promptly return all documents, devices and other materials containing Confidential Information and shall certify in writing that all such materials have been returned or destroyed.

6. Intellectual Property. The Employee acknowledges that all inventions, discoveries, developments, and works made or conceived in the course of employment that relate to the Employer's business are the exclusive property of the Employer. The Employee will execute documents and assist in proceedings as reasonably necessary to effect assignment and protection of such rights.

7. Duration. The obligations under this Deed with respect to Confidential Information shall continue for the duration of employment and for years following termination, except for trade secrets which shall remain protected for so long as they meet the legal definition of a trade secret.

8. Remedies. The Employee acknowledges that breach of this Deed will cause irreparable harm for which monetary damages may be inadequate. The Employer is entitled to seek injunctive relief, equitable remedies and damages in any court of competent jurisdiction without the requirement to post a bond.

9. Governing Law. This Deed is governed by the laws of and the parties submit to the exclusive jurisdiction of its courts.

10. Severability. If any provision of this Deed is held invalid or unenforceable the remaining provisions shall remain in full force and effect and the parties shall negotiate in good faith a valid substitute provision.

11. Entire Agreement. This Deed constitutes the entire agreement between the parties concerning Confidential Information and supersedes prior agreements and understandings on that subject.

Legal Disclosures

At-Will Employment. Nothing in this Deed constitutes a guarantee of employment for any specific period. Employment with the Employer is at-will and may be terminated by either party at any time, with or without cause, unless otherwise specified in a separate written agreement signed by an authorized representative of the Employer.

Equal Opportunity. The Employer is an equal opportunity employer. Decisions regarding hiring, promotion, compensation and other terms of employment are made without unlawful discrimination.

Applicant Certification & Authorization

I certify that the information provided in this Deed and accompanying employment records is true, complete and correct. I understand that any misrepresentation or omission may be grounds for discipline or termination.

Authorization. I authorize the Employer to contact prior employers, references and educational institutions to verify information and to conduct background checks, including criminal, credit and consumer reports where permitted by law. I consent to such investigations and release those parties from liability in providing such information.

Additional Notes

Employer Name:

By:

Date:

Employee Name:

By:

Date:

Enter text✕

What an Employee Confidentiality Deed Is and when it’s used

An Employee Confidentiality Deed is a written agreement between an employer and an employee that defines confidential information, the employee’s obligations to protect that information, and remedies for unauthorized disclosure. It is commonly used when employees will access trade secrets, proprietary data, customer lists, financial information, or other sensitive business materials. The deed sets term, scope, permitted disclosures, and any post-termination non-disclosure duties. While not always required to be notarized, an executed deed provides clear evidence of consent and can support injunctive relief or damages if confidentiality is breached.

Why employers and employees rely on a Confidentiality Deed

Using a confidentiality deed clarifies expectations, protects intellectual property and trade secrets, limits unauthorized use or disclosure, and creates contractual remedies for breach. It complements other employment controls such as access restrictions and training.

Why employers and employees rely on a Confidentiality Deed

Who typically completes an Employee Confidentiality Deed

Choose the signatories and witnesses according to internal policy and applicable state rules to ensure enforceability.

  • Human resources teams and in-house counsel managing onboarding and separation agreements.
  • Hiring managers and executives onboarding employees with access to IP or sensitive data.
  • Contractors, consultants, and temporary staff who require short-term access control.

Core elements included in a professional Employee Confidentiality Deed

A well-drafted deed contains clear definitions, precise obligations, duration limits, permitted disclosures, remedies, and a governing law clause. Each section should be drafted to balance enforceability with reasonableness.

Definitions

Define Confidential Information clearly and by category to avoid ambiguity and overbreadth that could undermine enforcement.

Employee Obligations

State duties to maintain confidentiality, restrictions on copying/transmitting, and required steps on discovering unauthorized access.

Permitted Disclosures

List exceptions such as disclosures required by law, prior public information, or authorized business use to prevent unintended breach claims.

Duration

Specify the term of confidentiality during employment and any post-termination period; tailor duration to the type of information.

Remedies

Include injunctive relief, damages, and fee-shifting where appropriate to strengthen deterrence and recovery options.

Governing Law

Identify the state law governing interpretation and dispute resolution to reduce uncertainty and forum shopping.

Step-by-step: completing and executing an Employee Confidentiality Deed

Follow these sequential steps to prepare, sign, and retain a usable deed.

  • 01
    Draft: Assemble definitions, obligations, duration, and remedies.
  • 02
    Review: Have HR or counsel check reasonableness and compliance.
  • 03
    Sign: Obtain employee signature and date; use e-signature or ink.
  • 04
    Retain: Store the executed deed in personnel records per retention rules.

Typical e-signature workflow settings for a confidentiality deed

Configure these settings when sending the deed for electronic signature to ensure auditability and secure delivery.

Field Configuration
Signature Authentication Email link + SMS code or two-factor authentication
Document Watermarking Enable tamper-evident PDF with audit trail embedded
Template Retention Store master template with version control
Access Control Restrict editing to HR and legal roles

How the deed moves from draft to signed record

This is the common delivery and execution flow for e-signed confidentiality deeds.

  • Upload Document: Add the deed to the e-sign platform
  • Place Fields: Add name, signature, date, and initials fields
  • Send to Signer: Send secure link or email invite
  • Complete & Archive: Signer completes and platform archives signed PDF

Digital signing and integration considerations

Choose integrations for HRIS or document management to automate retention and access controls.

  • Auth Options: Email, SMS, KBA, or SSO
  • Audit Trail: IP, timestamp, and action log
  • File Formats: PDF and DOCX supported

Security and compliance features to look for

Encryption: TLS 1.2/1.3 in transit; AES-256 at rest
Audit Trail: Comprehensive logs with IP and timestamps
Certifications: SOC 2 Type II and ISO 27001
HIPAA Support: HIPAA-compliant with BAA available
21 CFR Part 11: Support for FDA-regulated records
Access Controls: Role-based permissions and SSO

Common pitfalls to avoid when preparing a confidentiality deed

  • Overbroad definitions that cover public information and are unenforceable.
  • Unclear duration terms that create ambiguity post-termination.
  • Failing to identify the governing law and dispute resolution method.
  • Relying on initials or informal acceptance without a dated signature.

Consequences of improper or unenforceable confidentiality agreements

Civil Damages: Monetary awards for breach or misappropriation
Injunctive Relief: Court orders to prevent further disclosure
Employment Action: Termination or disciplinary measures
Trade Secret Claims: State and federal misappropriation remedies
Criminal Liability: Rare, but possible for specific theft or espionage
Reputational Risk: Loss of customer trust and business harm

Practical tips for accurate and efficient completion

Adopt consistent templates and electronic processes to reduce errors and speed execution.

Use clear, narrow definitions
Limit Confidential Information to specific categories and examples so obligations are enforceable and employees understand their duties.
Require dated signatures
Capture the signature date and an effective date to establish the timeline for obligations and retention.
Apply least-privilege access
Combine contractual controls with technical access restrictions so only authorized personnel can view sensitive materials.
Maintain version control
Store templates centrally, track revisions, and archive executed copies to support audits and dispute responses.

Real-world examples of deed use cases

These concise scenarios illustrate how employers use confidentiality deeds in common situations.

New Hire Onboarding

Small firm hiring a developer

  • deed limits access to source code and client lists
  • The executed deed is added to the employee file and integrated into onboarding IT access controls to ensure compliance.

Consultant Engagement

Vendor given temporary data access

  • deed defines permitted data uses and return obligations
  • The consultant signs electronically; obligations include data destruction and certification after engagement ends.

Typical timelines and processing expectations

Establish clear internal deadlines for execution and document handling to ensure enforceability and administrative consistency.

Execution Deadline:

Request signed deed within 3–5 business days of offer acceptance to avoid delays

Onboarding Access:

Grant systems access only after the signed deed is received and verified

Retention Start:

Retention counts from the effective date recorded on the executed deed

Periodic Review:

Review templates annually to reflect legal and regulatory changes

Archival Retrieval:

Ensure executed copies are retrievable within two business days for audits

Comparison: common e-signature vendor pricing and capabilities

Typical vendor starting prices and core capabilities for teams seeking e-signature solutions; signNow is listed first for direct comparison.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial Yes, 7-day free trial No No No No
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Frequently asked questions and answers

Answers to common questions about execution, enforceability, and electronic signing of confidentiality deeds.


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