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A non-disclosure agreement (NDA) is designed to protect confidential information shared between parties, such as customers and suppliers. NDAs should be used in various engagements, such as consulting or strategic alliances. They can be standalone documents or include confidentiality clauses in broader agreements. An NDA restricts the recipient from disclosing sensitive information to third parties or the public. Common types of confidential information covered include business and marketing plans, financial data, employee lists, operational procedures, and technical research.