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Non-Disclosure Agreement (Nigeria)

Non-Disclosure Agreement (Nigeria)

NON-DISCLOSURE AGREEMENT

Nigerian Contract Law | Stamp Duties Act | Federal High Court Act

THIS NON-DISCLOSURE AGREEMENT ([NDA Type]) is made on [Effective Date]

BETWEEN:

(1) [Disclosing Party Name] (CAC: [Disclosing Party CAC]), of [Disclosing Party Address] — the DISCLOSING PARTY; and

(2) [Receiving Party Name] (CAC: [Receiving Party CAC]), of [Receiving Party Address] — the RECEIVING PARTY.

1. PURPOSE AND CONFIDENTIAL INFORMATION

1.1 Purpose of disclosure: [Purpose of Disclosure]

1.2 Confidential Information means all information disclosed by the Disclosing Party to the Receiving Party in connection with the above purpose, including: [Confidential Info Description] — and any other information designated as confidential by the Disclosing Party in writing.

1.3 Confidential Information does not include information that: (a) is or becomes publicly known other than through the Receiving Party's breach; (b) was rightfully known to the Receiving Party before disclosure; (c) is independently developed by the Receiving Party without reference to the Disclosing Party's information; (d) is received from a third party without restriction on disclosure; or (e) is required to be disclosed by Nigerian law, court order, or regulatory requirement — provided the Receiving Party gives the Disclosing Party advance written notice where legally permissible.

2. CONFIDENTIALITY OBLIGATIONS

2.1 The Receiving Party shall: (a) keep the Confidential Information strictly confidential and not disclose it to any third party without the Disclosing Party's prior written consent; (b) use the Confidential Information solely for the Purpose stated above; (c) protect the Confidential Information using the same standard of care it applies to its own confidential information, and in any event no less than reasonable care; and (d) restrict disclosure of Confidential Information within its own organisation to those employees, officers, or professional advisors who have a genuine need to know for the Purpose and who are bound by equivalent confidentiality obligations.

2.2 Duration: The confidentiality obligations in this Agreement shall apply for [NDA Duration] years from the effective date, or indefinitely for information that constitutes a trade secret under Nigerian law.

2.3 Return or destruction: On termination of the business relationship or on the Disclosing Party's written request, the Receiving Party shall promptly return or destroy all Confidential Information and any copies — [Return Or Destroy].

3. REMEDIES FOR BREACH

3.1 The Receiving Party acknowledges that any breach of this Agreement would cause irreparable harm to the Disclosing Party for which monetary damages would be an inadequate remedy, and that the Disclosing Party shall be entitled to seek an injunction or other equitable relief from the Federal High Court of Nigeria or the relevant State High Court, without being required to prove actual damage or post a bond, in addition to any other remedies available at law.

4. GOVERNING LAW AND DISPUTE RESOLUTION

4.1 This Agreement is governed by [Governing Law]. Disputes shall be resolved by [Dispute Resolution].

IN WITNESS WHEREOF the parties have executed this Agreement on [Effective Date].

Disclosing Party — Signature

________________

Signature

Receiving Party — Signature

________________

Signature

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What Is a Non-Disclosure Agreement (Nigeria)?

A Non-Disclosure Agreement in Nigeria obliges the receiving party to keep the disclosing party's proprietary information secret. It restricts disclosure and use of designated confidential information between the disclosing and receiving parties.

A Non-Disclosure Agreement in Nigeria may be structured as a unilateral NDA — where only one party discloses confidential information and the other party is the sole recipient bound by the confidentiality obligation — or as a mutual NDA (MNDA), where both parties disclose and receive confidential information and both are equally bound by the confidentiality obligations. Unilateral NDAs are common in employment relationships, investor-startup pitches, and vendor-client engagements. Mutual NDAs are standard in joint venture negotiations, merger and acquisition due diligence, technology licensing, and business partnership discussions where both parties exchange proprietary information.

Confidential information protected by a Nigerian NDA typically includes: business plans and financial projections; customer and supplier lists; trade secrets and know-how; technical specifications, software source code, and product designs; personnel information; pricing structures and commercial terms; and any other information designated as confidential by the disclosing party. Nigerian NDAs generally exclude from the definition of confidential information: information that is already in the public domain at the time of disclosure (other than through a breach by the receiving party); information that the receiving party can demonstrate it independently developed without reference to the disclosing party's information; information lawfully obtained from a third party without restriction on disclosure; and information required to be disclosed by court order or applicable Nigerian law (such as under the Companies and Allied Matters Act 2020 reporting requirements or FIRS tax obligations).

Nigerian courts enforce NDA obligations as contractual duties. The primary remedy for breach of a NDA in Nigeria is an injunction — either an interlocutory (interim) injunction from the Federal High Court or relevant State High Court restraining continued disclosure pending a full trial, or a permanent injunction. Damages for breach may also be awarded where the disclosing party can prove actual financial loss resulting from the unauthorised disclosure. The Nigerian courts have, in addition, recognised the tort of breach of confidence as a basis for relief independent of contract, following the English common law principles endorsed in Coco v AN Clark (Engineers) Ltd [1968] FSR 415, which has been cited with approval in Nigerian judgments.

The legal framework governing the Non-Disclosure Agreement (Nigeria) in Nigeria draws on several key statutes and regulatory bodies. Under Nigerian law, the Companies and Allied Matters Act 2020 (CAMA) regulates corporate entities through the Corporate Affairs Commission (CAC). The Labour Act (Cap L1 LFN 2004) and the National Industrial Court of Nigeria (NICN) govern employment disputes. The Nigeria Data Protection Regulation (NDPR) 2019 and the Nigeria Data Protection Commission (NDPC) protect personal data. The Federal Inland Revenue Service (FIRS) administers tax obligations under the Companies Income Tax Act. The Federal High Court and state High Courts have jurisdiction over civil matters. Parties executing a Non-Disclosure Agreement (Nigeria) in Nigeria should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Contract Law (received English common law) sets the foundational requirements.

When Do You Need a Non-Disclosure Agreement (Nigeria)?

A Non-Disclosure Agreement in Nigeria is required in the following circumstances.

A Non-Disclosure Agreement is needed when a startup founder or entrepreneur presents a business plan, financial model, or proprietary technology to potential investors — including angel investors, venture capital funds, or private equity firms — before any term sheet or investment agreement has been signed. The NDA protects the founder's intellectual property and business strategy from being disclosed to competitors or used by the investor to fund a competing venture.

A Non-Disclosure Agreement is required when a company engages a software developer, IT consultant, or outsourced technology service provider who will have access to the company's source code, database architecture, customer data, or system credentials. The NDA confirms the contractor cannot share the company's technical information with competitors or use it for other clients.

A Non-Disclosure Agreement is needed when two Nigerian companies, or a Nigerian company and a foreign company, are in preliminary negotiations for a joint venture, partnership, or strategic alliance and are exchanging commercially sensitive information — such as customer lists, financial performance data, and operational processes — before formal joint venture or partnership agreements are executed.

A Non-Disclosure Agreement is required when a company is exploring a merger, acquisition, or sale of a business division and the potential buyer is conducting due diligence that involves access to the target company's financial records, contracts, personnel information, and intellectual property.

A Non-Disclosure Agreement is needed when a manufacturer or product company engages a distribution agent, reseller, or marketing partner and must share proprietary pricing structures, product formulations, or operational systems that are not in the public domain and would damage the company's competitive position if disclosed to rivals.

A Non-Disclosure Agreement is required when an employee is given access to trade secrets, client databases, proprietary processes, or other confidential company information as part of their employment duties, particularly for senior management, sales, R&D, and technology roles — often incorporated as a clause within the employment contract or as a standalone NDA.

Parties in Nigeria should prepare a Non-Disclosure Agreement (Nigeria) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under Nigerian law, the Companies and Allied Matters Act 2020 (CAMA) regulates corporate entities through the Corporate Affairs Commission (CAC). The Labour Act (Cap L1 LFN 2004) and the National Industrial Court of Nigeria (NICN) govern employment disputes. The Nigeria Data Protection Regulation (NDPR) 2019 and the Nigeria Data Protection Commission (NDPC) protect personal data. The Federal Inland Revenue Service (FIRS) administers tax obligations under the Companies Income Tax Act. The Federal High Court and state High Courts have jurisdiction over civil matters. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.

What to Include in Your Non-Disclosure Agreement (Nigeria)

A valid Nigeria Non-Disclosure Agreement must contain the following essential elements to be enforceable under Nigerian law.

Parties: Full legal names, addresses, and descriptions of the disclosing party and the receiving party. For corporate parties, include the Corporate Affairs Commission (CAC) registration number under the Companies and Allied Matters Act 2020 (CAMA 2020) and the Tax Identification Number (TIN) issued by the Federal Inland Revenue Service (FIRS) under the Companies Income Tax Act (Cap C21, LFN 2004). The relationship — employer/employee under the Labour Act (Cap L1, LFN 2004), business partners, investor/startup, or joint venture parties — should be briefly described.

Definition of Confidential Information: A precise definition of what constitutes confidential information under the NDA, covering trade secrets protected under common law as received in Nigeria, technical data, product formulations, software source code protected by the Copyright Act (Cap C28, LFN 2004), customer and supplier lists, pricing data, business strategies, and financial projections. Nigerian courts require certainty in the scope of the confidentiality obligation to enforce it — citing principles from Coco v AN Clark (Engineers) Ltd [1968] FSR 415 as applied by Nigerian courts.

Purpose of Disclosure: The specific purpose for which the confidential information is being disclosed — for example, evaluating a potential investment, developing software, or conducting due diligence for an acquisition under CAMA 2020 Section 118. Limiting the purpose restricts the receiving party's permitted use and strengthens enforcement.

Confidentiality Obligations: The receiving party's duties — not to disclose to any third party without prior written consent; not to use for any purpose beyond the stated purpose; to apply at minimum reasonable care (equivalent to the care applied to the receiving party's own confidential information); and to limit internal disclosure to employees with a genuine need to know. Where the receiving party is a financial institution regulated by the Central Bank of Nigeria (CBN) under BOFIA 2020, additional obligations under the CBN's Consumer Data Protection Guidelines apply.

Exclusions from Confidentiality: Standard exclusions for information already in the public domain; information the receiving party independently developed; information received from a third party lawfully and without restriction; and information required to be disclosed by Nigerian law, court order, or regulatory requirement — including disclosure obligations to the Securities and Exchange Commission (SEC Nigeria) under the Investments and Securities Act 2024, to the Economic and Financial Crimes Commission (EFCC) under the EFCC (Establishment) Act 2004, to the Federal Inland Revenue Service (FIRS), or to the Nigeria Upstream Petroleum Regulatory Commission (NUPRC) under the Petroleum Industry Act 2021.

Duration: The confidentiality period — typically 2 to 5 years for commercial NDAs, indefinitely for genuine trade secrets. The National Industrial Court of Nigeria (NICN) has jurisdiction over employment-related NDA disputes under Section 254C of the Constitution of the Federal Republic of Nigeria 1999 (as amended).

Data Protection: The Nigeria Data Protection Act 2023 (NDPA 2023) administered by the Nigeria Data Protection Commission (NDPC) applies where the NDA involves personal data — for example, customer records or employee information. Section 26 of the NDPA 2023 requires that any processing of personal data by the receiving party be done on a lawful basis and subject to appropriate technical and organisational security measures. The receiving party must notify the disclosing party of any personal data breach within 72 hours.

Remedies, Stamp Duty, and Governing Law: Breach of the NDA entitles the disclosing party to seek an interlocutory injunction from the Federal High Court or relevant State High Court, and damages or account of profits. Stamp duty under Section 4 of the Stamp Duties Act (Cap S8, LFN 2004) is assessed by FIRS where a corporate party is involved. Dispute resolution may be by arbitration under the Arbitration and Mediation Act 2023 at the Lagos Court of Arbitration (LCA) or the Regional Centre for International Commercial Arbitration (RCICAL) in Lagos. Forms-legal.com provides this template as a starting point — parties should seek advice from a Nigerian Bar Association (NBA)-enrolled solicitor to tailor the NDA to the specific transaction and ensure NDPA 2023 compliance.

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Forms Legal. (2026). Non-Disclosure Agreement (Nigeria) (Nigeria) [Legal document template]. Forms Legal. https://forms-legal.com/nigeria/business/contracts/non-disclosure-agreement-nigeria

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BibTeX
@misc{formslegal-non-disclosure-agreement-nigeria,
  author       = {{Forms Legal}},
  title        = {Non-Disclosure Agreement (Nigeria) (Nigeria)},
  year         = {2026},
  howpublished = {\url{https://forms-legal.com/nigeria/business/contracts/non-disclosure-agreement-nigeria}},
  note         = {Free legal document template. Based on Contract Law (received English common law)}
}

Frequently Asked Questions

Based on Contract Law (received English common law) — Template last modified June 2026

This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction and change over time. Consult a qualified attorney for advice specific to your situation.Full disclaimer

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