What Is NDA (Non-disclosure agreement)?

Why it matters

Buyers use NDAs when a public company wants to buy a name without tipping off the market. Sellers sign them to learn who the buyer is. An NDA does not decide the price or force a sale. It only covers what each side may say. Common mistake: signing a broad NDA that blocks you from reporting the sale or talking to your own advisers. Read the length of the term, and what counts as confidential. Some NDAs let the seller reveal the sale later, and others never do.

Source: escrow.com

Related terms

NDA sale: An NDA sale, or unreported sale, is a domain sale whose price and buyer are kept private by agreement. The sale does not appear in public sales databases.
Stealth acquisition: A purchase where the buyer's identity is kept from the seller, usually through a broker or an intermediary company. It is used so the seller does not raise the price after learning who wants the name.
Domain purchase agreement: A written contract for a domain sale. It states the domain, price, payment method, transfer steps, timing and each side's promises, such as clear ownership of the name.
Due diligence: Due diligence is the checking a buyer does before paying for a domain. It confirms who owns the name, whether it carries legal or technical problems and whether the price is fair.
Reported sale: A domain sale whose price has been made public, often through industry sales lists such as DNJournal. Many private sales never become public, so reported sales are only part of the market.

All 205 terms

Non-disclosure agreement (NDA)

Why it matters

Buying or selling a domain?