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In the technology sector, nondisclosure agreements (NDAs) are a common legal mechanism for safeguarding sensitive information exchanged between organizations. When a vendor approaches a corporate customer to evaluate technology for potential licensing, they often request an NDA beforehand. Enterprises must be cautious when signing such agreements, especially if they favor the other party. Accepting an NDA implies the organization agrees to keep the confidential information private and prevent unauthorized use. Furthermore, NDAs may require the enterprise to implement security measures to protect the sensitive data, emphasizing the importance of careful consideration before agreeing to these legal obligations.