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In the technology sector, nondisclosure agreements (NDAs) are a common legal control for organizations exchanging sensitive information. Vendors often request NDAs from corporate customers before showcasing technology for potential licensing. Enterprises must carefully evaluate NDAs that benefit another party, as signing an NDA carries risks. By agreeing to an NDA, an organization commits to keeping the provided sensitive information confidential, preventing unauthorized disclosure, and ensuring it is not used without proper authority. NDAs may also include additional security measures to protect this information.