NDA Outsourcing: Freeing Up Internal Teams
Reviewing non-disclosure agreements (NDAs) can be a difficult task, and can pose risks for the unwary. However, such reviews are necessary to protect the parties’ rights and interests. Part of the difficulty stems from the fact that a well-crafted NDA should be tailored to reflect the specific circumstances it is designed to cover whether it is a unilateral (“one-way”) or mutual (“two-way”) NDA. While one can find an array of NDA templates online, there are many variations, each with important distinctions. As a result, a one-size-fits-all NDA is unlikely to meet anyone’s needs so oftentimes NDA outsourcing is used for organizational support. Subtle nuances in wording can also lead to vastly different interpretations and outcomes. This, in turn, can impact the result, should there ever be a need to enforce the agreement.
Another factor impacting the NDA review process is timeliness. NDAs are often time-sensitive. If the agreement is not entered into relatively quickly, the parties cannot share information with one another confidently. This impedes the parties’ ability to accomplish their shared goals. Therefore, spending an unreasonable amount of time on the legal review process is simply not an option. However, neither is conducting incomplete NDA reviews.
For organizations that deal with a significant volume of NDAs, such as venture capital and private equity firms, time is money. Such organizations generally recognize the value afforded by NDAs. However, they cannot wait for weeks while their legal department or business analysts examine each NDA provision in detail, only to raise substantive objections or propose changes to the documents – changes that are likely to require reviews by additional attorneys before the agreements are finalized.
NDA outsourcing gives organizations comfort knowing skilled and experienced reviewers are looking out for their clients’ interests. Outsourcing NDA review and negotiation to an organization that regularly provides such services to clients can save time and money, while decreasing the risk that potential issues will be missed during the process. By outsourcing what can be a time-consuming process for internal staff, organizations also free employees to work on other pressing matters, improving turnaround times and profitability.
Baer Reed provides NDA outsourcing that allows organizations to move forward efficiently with their best interests secured. To learn more, contact us today.
- On November 25, 2021
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