confidentiality agreement
agreement to treat information as private and confidential an agreement whereby an organization that has access to information about the affairs of another organization makes an undertaking to treat the information as private and confidential. A potential buyer of a company who requires further information in the process of due diligence may be asked to sign a confidentiality agreement stating that the information will only be used for the purpose of deciding whether to go ahead with the deal and will only be disclosed to employees involved in the negotiations. Such agreements are also used where information is shared in the context of a partnership or benchmarking program.

