An Arizona Non-Disclosure Agreement (NDA) is a fundamental legal instrument for businesses and individuals seeking to protect sensitive information and proprietary data. It is crucial in upholding the confidentiality of trade secrets, innovative concepts, and classified information.

Governing Laws: Uniform Trade Secrets Act (Title 44, Chapter 4).
Statute of Limitation: A plaintiff in Arizona can sue within three years once the misappropriation is discovered (Ariz. Rev. Stat. § 44-406).
Definition of Trade Secret (Ariz. Rev. Stat. § 44-401):

“Trade secret” means information, including a formula, pattern, compilation, program, device, method, technique or process, that both:

(a) Derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use.

(b) Is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.

Are NDAs Enforceable in Arizona?

Yes, NDAs are enforceable in Arizona. If a breach occurs, the liable party shall pay attorney’s fees [1] and compensation that includes up to two times the amount lost due to the misappropriation. [2]

Public officials in Arizona cannot use public funds for settlements involving non-disclosure agreements related to sexual assault or harassment claims, [3] and such agreements cannot prevent parties from responding to law enforcement inquiries or making statements in criminal proceedings concerning alleged sexual offenses or obscenity. [4]