The Non-Use Agreement serves as a crucial legal instrument under Malaysian law for organizations seeking to protect their proprietary information from specific uses by recipients. This document is particularly vital when sharing sensitive business information, technical data, or trade secrets where the owner needs to maintain control over how the information is utilized. The agreement draws its enforceability from the Malaysian Contracts Act 1950 and is strengthened by provisions from the Trade Secrets Act 2021, making it especially relevant for business transactions, technological collaborations, and professional services engagements where information sharing is necessary but must be strictly controlled.
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Key Requirements PROMPT example:
Non Use Agreement
"I need a Non-Use Agreement to protect our manufacturing process information when sharing it with a potential equipment supplier in Malaysia, ensuring they can't use our technical specifications to develop competing products or serve our competitors."
1. Parties: Identification and details of the contracting parties
2. Background: Context of the agreement and relationship between the parties
3. Definitions: Detailed definitions of key terms, especially 'Protected Information' and 'Prohibited Uses'
4. Scope of Protected Information: Detailed description of information subject to non-use restrictions
5. Non-Use Obligations: Core restrictions and obligations regarding the non-use of protected information
6. Security Measures: Required measures to prevent unauthorized access or use of protected information
7. Term and Termination: Duration of the agreement and termination provisions
8. Return or Destruction of Information: Obligations regarding the handling of protected information upon termination
9. Breach and Remedies: Consequences of breach and available remedies
10. Governing Law and Jurisdiction: Applicable law and jurisdiction for dispute resolution
1. Third Party Rights: Include when third parties may have rights or obligations under the agreement
2. Escrow Arrangements: Include when protected information needs to be held in escrow
3. Audit Rights: Include when the disclosing party requires rights to audit compliance
4. Insurance Requirements: Include when specific insurance coverage is required
5. Special Industry Requirements: Include when specific industry regulations apply
6. Alternative Dispute Resolution: Include when parties prefer alternative dispute resolution methods
7. Surviving Obligations: Include when certain obligations need to survive termination
1. Schedule 1 - Protected Information: Detailed list and description of all protected information
2. Schedule 2 - Prohibited Uses: Specific list of prohibited uses of the protected information
3. Schedule 3 - Security Protocols: Detailed security measures and protocols to be followed
4. Schedule 4 - Authorized Personnel: List of personnel authorized to access protected information
5. Appendix A - Handling Procedures: Standard operating procedures for handling protected information
6. Appendix B - Incident Response Plan: Procedures for responding to unauthorized use or security breaches
Authors
Relevant legal definitions
Clauses
Relevant Industries
Technology and Software
Manufacturing
Research and Development
Professional Services
Healthcare
Financial Services
Telecommunications
Biotechnology
Industrial Design
Energy and Resources
Relevant Teams
Legal
Compliance
Information Security
Research and Development
Executive Leadership
Risk Management
Information Technology
Intellectual Property
Business Development
Corporate Strategy
Relevant Roles
Chief Legal Officer
Intellectual Property Manager
Compliance Officer
Chief Technology Officer
Research Director
Business Development Manager
Information Security Officer
Contract Manager
Chief Executive Officer
Chief Innovation Officer
Risk Manager
Project Manager
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