Can an Employee Refuse to Sign a Non-Disclosure Agreement?

Contact Us

non-disclosure agreement

When hiring a new employee, the onboarding process can be extensive, as there are a number of documents employees will be required to sign. One of the most common is a non-disclosure agreement or NDA. However, if the employee is hesitant to sign, you may not know how to proceed. Understanding how to proceed is crucial to protecting the best interest of your company. When you’re having an issue, a Los Angeles employment contracts attorney can help you navigate this legal issue. Keep reading to learn more about the necessity of this document and what to do when this situation arises is crucial.

What Is a Non-Disclosure Agreement?

A non-disclosure agreement is a standard document that many companies in various different fields require. This agreement is legally binding and requires an authorizes a confidential relationship between the employee and employer.

This document will outline the confidential information that will be shared. Generally, the information must be specific and detailed, as uncertain or vague terms may invalidate the agreement. Similarly, the sensitive information in the agreement cannot be common knowledge, as this is not protected.

For example, if an NDA states that an employee cannot share information about a patent with a competitor and your employee accidentally leaves a patented invention in a public space where an employee from a competing company finds it, they would be violating the terms of the agreement, as they are required to keep that information private.

What Happens if My Employee Refuses to Sign?

In many instances, employees are hesitant to sign this document because of the intense legal terms in the agreement. For many employees, the writing may be dense and confusing. In these instances, you can allow them to consult their own attorney. However, in some cases, you may be able to modify the agreement with your employee to make the terms of the contract more manageable.

If the employee still refuses to sign, you may be unable to proceed with their hiring. Unfortunately, the sensitive information is very likely crucial for the function of their job, and failing to share the information would prohibit them from completing the responsibilities effectively.

How Can an Attorney Help?

Though you may be frustrated with an employee, ensuring you have the help of an attorney is crucial. When a change is necessary to have an employee agree to sign, the assistance of an attorney is essential. Without the eyes of an attorney looking over the document, you are susceptible to mistakes that can leave your business vulnerable.

When you need help protecting your business, the Lee Law Offices can help. We understand how important protecting your business is. If you’re having trouble creating your employment contracts, contact our law firm. Our seasoned attorneys can help you draft an agreement that works for your needs. Contact us today to learn more.