Simon, Monahan, & Simon L.L.C.
CONTACT US
Comprehensive Legal Services From
Attorneys Who Get Results

What to do when former employees break their NDAs

On Behalf of | Jan 9, 2025 | Business Litigation |

Many businesses rely on non-disclosure agreements (NDAs) to protect valuable company information and trade secrets. Unlike non-compete agreements, which courts often view skeptically, NDAs offer clear and enforceable protection for your business interests. Finding out a former employee shared confidential information can feel like a betrayal, but you have options to address this situation.

Steps to take after an NDA breach

Information spreads fast in today’s digital world, making quick action crucial when you suspect an NDA violation. The faster you respond, the better your chance of protecting your business interests.

  • Review your NDA: Work with your attorney to examine the contract’s exact terms and what actions you can take against violations.
  • Document everything: Save emails, screenshots, messages and any proof showing how the former employee broke the non-disclosure agreement.
  • Contact the former employee: Send a notice or cease and desist letter to remind them of their NDA obligations.
  • Keep key people informed: Let your lawyers, business partners and other affected parties know what’s happening.
  • Gather evidence of damages: Track any financial losses the breach may have caused.

Taking these initial steps helps build a strong case if you need to pursue legal action later.

Legal options to protect your business

Since NDAs are contracts, you can take legal action if your employee breaks them. Claims you can file may include:

  • Breach of contract
  • Theft of trade secrets
  • Unfair competition
  • Copyright infringement

The actions you can take depends on how you made the NDA. Make sure your NDA includes specific details about what information counts as confidential, how long protection lasts and what penalties apply for violations.

Move forward with confidence and legal help

Quick action and proper documentation make a big difference when handling NDA violations. Sometimes, a swift and stern warning resolves the situation. If that doesn’t work, legal action remains an option. Working with an experienced business attorney helps protect your interests at every step—from drafting strong NDAs to taking things to court if needed to enforce them.