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An independent contractor may have access to confidential information when hired for a project, making a non-disclosure agreement (NDA) essential. There are two main types of NDAs: unilateral, where only one party shares information, and mutual, where both parties exchange and seek protection for their confidential data. The purpose of an NDA is to prevent unauthorized disclosure of sensitive information. Key considerations for NDAs include limiting the information to what is genuinely confidential and necessary to protect. This ensures that valuable trade secrets remain secure from competitors and the public.