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In the technology sector, nondisclosure agreements (NDAs) serve as a common form of legal control between organizations. Vendors often request NDAs from corporate customers before discussing technology licensing. Enterprises approached to sign an NDA should be cautious, as these agreements carry risks. By signing, an organization commits to protecting sensitive information and preventing unauthorized disclosure, as well as refraining from using the information without proper authorization. NDAs may also require the signing party to take additional security measures to safeguard the information involved. Therefore, careful consideration is essential before entering such agreements.
