NDA vs. NCA vs. NSA: What they are and how to use them

• Sumsion News
November 10, 2023
4 min read

Sometimes a handshake just isn’t enough. While most people recognize that this is the case with regards to making external contracts, agreements protecting a company from internal threats are just as important. Companies have several different ways of legally protecting their private information, products, and client relationships. Some of the most essential protections include non-disclosure agreements, non-compete agreements, and non-solicitation agreements. While each of these legal documents have different focuses, they all share the ultimate purpose of ensuring that a business is safe to grow and expand freely.

NDA

A non-disclosure agreement is a document that requires employees to not share company information. It can also be used between business partners who have special information about one another. Keeping specialized information private is often a critical baseline defense for any business doing any sort of confidential work.  

NCA

Non-compete agreements differ in that they seek to prevent employees from starting or working for a company that could compete with their previous employer. Typically, an NCA will specify the types of businesses that are considered competition, geographic boundaries, and how long the NCA will last. In Utah, one year is the limit for how long an NCA can last.  

NSA

A typical non-solicitation agreement again focuses on the employees of a company, but specifies their legal inability to solicit customers, business partners, or even other employees. This prevents previous employees from using their knowledge of your business relationships to benefit a competitor or even their own personal business interests.  

Conclusion

Whether you need an NDA, NCA, NSA, or a mix of the three, Sumsion Business Law is here to help. We have 35 years of experience and use our expertise to benefit clients as they navigate legal challenges. Whether you are a business owner or an employee subject to one of the above agreements, we can help you determine what your next step should be. Contact us below to set up an initial consultation.

Joseph Kennedy

A common freelance hiring issue originates from a poor chain of custody around worker classification data and worker classification itself. Without legal worker classification, your organization is in danger of costly litigation. If you should get audited, could you stand by your worker classification procedures?

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