Download Michigan Non-Disclosure Agreement Template [PDF]

The Michigan non-disclosure agreement (NDA), or confidential disclosure agreement, is a legal document that defines the confidential information of the parties signing the document and establishes an obligation of the signing parties not to share the pre-defined confidential information with third parties.

What is a Trade Secret in Michigan?

A trade secret in Michigan is confidential information that describes certain business processes or structures that are not accessible to the general public or competitors and are considered to be a competitive advantage of that business on the market.

Types of Non-Disclosure Agreements

The main types of non-disclosure agreement forms are unilateral and mutual NDAs. The main differentiating factor between these two types of NDAs lies in who takes on the obligation of keeping the information shared between the parties confidential.

With a unilateral NDA, only one party is obliged to keep the information confidential, while with a mutual NDA, all the parties signing the document must be obliged not to share the exchanged information with third parties.

Legal Requirements for Michigan Non-Disclosure Agreement

This section presents the state regulations for the Michigan non-disclosure agreement template:

Mandatory Requirements for NDA in Michigan

Statutes: § 445.1901 to § 445.1910
Definitions: § 445.1902
Statute of limitations: An action for misappropriation must be brought within three years after the misappropriation is discovered. (§ 445.1907)

What Can a Non-Disclosure Agreement Be Used For in Michigan?

The Michigan non-disclosure agreement can be used in various situations based on the type of information the parties wish to keep confidential, the confidentiality level, and more.

Here, we will cover only the most common reasons the parties decide to create the NDA:

NDA Uses and Scopes in Michigan

Protection of business and trade secrets: The parties choose to draft the NDA to protect their sensitive business information during the interaction with their business partners, suppliers, vendors, and other third parties.
Protection of information during research collaborations: The parties can use the NDA to keep confidential their findings during the research process or to protect the results of their research.
Protection of information during employment: Companies choose to issue an NDA to keep confidential the information their employees get access to during their employment. This document is usually signed along with the employment agreement.
Protection of information after litigation: The NDA can also be used by the parties who want to keep the details of their dispute settlement agreement confidential for the public.

Michigan Non-Disclosure Agreement FAQ

Yes, the NDA is a legally binding document in Michigan. It becomes legally binding once all the parties taking on the obligation of confidentiality sign it.
The Michigan NDA doesn’t have to be signed in front of a witness to be valid. However, the parties might consider including the witness signatures to additionally confirm the document’s authenticity.
You can always decline to sign an NDA in Michigan. However, you should consider all the consequences of that action in terms of your relationship with the party issuing the NDA before making such a decision.