A West Virginia Non-Disclosure Agreement (NDA) is a legal document that provides protection from a party from disclosing confidential information to parties outside the contract.
A non-disclosure agreement is common in various business scenarios, including as part of the onboarding process for a new employee or an investor discussion. If the recipient of confidential information breaches the agreement, the disclosing party can pursue legal action to obtain compensation.
West Virginia NDA Laws Overview
- Governing Laws: Uniform Trade Secrets Act. (W. Va. Code §§ 47-221 — 47-22-10)
- Statute of Limitation: Plaintiffs have three years from when the misappropriation occurs to pursue legal action. (W. Va. Code § 47-22-6)
- Trade Secret Definition (W. Va. Code § 47-22-1(d)):
“Trade secret” means information, including, but not limited to, a formula, pattern, compilation, program, device, method, technique or process, that:
(1) 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; and
(2) Is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.
Are NDAs Enforceable in West Virginia?
Yes. NDAs are enforceable in most business situations. A valid NDA clearly defines the confidential information that the divulging party will share with the receiving party. The NDA shouldn’t be overly broad in its terms or timeframe, and it should serve a legal business purpose.
