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A non-disclosure agreement (NDA) is designed to protect confidential information shared between parties, such as customers and suppliers. NDAs are used during consulting engagements, service agreements, and strategic alliances. They can either be standalone agreements or incorporated as clauses in larger contracts. An NDA obligates the recipient of secret information to refrain from disclosing it to third parties or the public. Commonly protected confidential information includes business and marketing strategies, financial data, employee records, and technical research and development.