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Non-Disclosure Agreements when the proposing companies are sold

 

     

Non-Disclosure Agreements are independent from the proposing companies so, should anything happen to the parties involved in the confidentiality contract, it still remains in effect.

 

Non-Disclosure Agreements often make provision for this kind of situation to the extent that they expressly stipulate that in the event of selling, for example, the company acting as the Receiving party, the third party that purchases it shall be bound to the agreement and the terms set forth therein.

 

 

On the other hand, it is also common in a company sale to mention the fact that the acquiring party shall assume the position of the sold company in the respective non-disclosure agreement. This position is transversal to all existing contracts or business affairs that shift to the legal sphere of the acquiring company.

 

 

 

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