✦ NDA Template

Illinois NDA Template — Free Non-Disclosure Agreement (2026)

Illinois Trade Secrets Act compliant. Includes notes on the Freedom to Work Act and what Illinois workers can and cannot be restricted from doing.

Illinois-Specific Legal Notes

Mutual Illinois NDA Template

Both parties share and receive confidential information. Recommended for business partnerships, joint ventures, and negotiations where both sides have something to protect.

Mutual NDA
MUTUAL NON-DISCLOSURE AGREEMENT (Illinois — Governed by the Illinois Trade Secrets Act (765 ILCS 1065) and applicable federal law) This Mutual Non-Disclosure Agreement ("Agreement") is entered into as of [DATE] by and between: [PARTY A FULL LEGAL NAME], a [individual/entity type] with its principal place of business at [ADDRESS] ("Party A"); and [PARTY B FULL LEGAL NAME], a [individual/entity type] with its principal place of business at [ADDRESS] ("Party B"). Party A and Party B are each referred to as a "Party" and collectively as the "Parties." 1. PURPOSE The Parties wish to explore a potential business relationship or engagement (the "Purpose") and, in connection therewith, may disclose to each other certain confidential and proprietary information. 2. DEFINITION OF CONFIDENTIAL INFORMATION "Confidential Information" means any non-public information disclosed by either Party (the "Disclosing Party") to the other Party (the "Receiving Party"), whether disclosed orally, in writing, electronically, or by any other means, that is designated as confidential or that reasonably should be understood to be confidential given the nature of the information and circumstances of disclosure. Confidential Information includes but is not limited to: trade secrets, business plans, financial data, technical data, software, customer lists, pricing information, marketing strategies, and proprietary processes. Confidential Information does NOT include information that: (a) is or becomes publicly known through no breach of this Agreement; (b) was rightfully known to the Receiving Party before disclosure; (c) is rightfully obtained from a third party without restriction; (d) is independently developed without use of Confidential Information; or (e) is required to be disclosed by law or court order, provided prior written notice is given where permitted. 3. OBLIGATIONS OF RECEIVING PARTY Each Receiving Party agrees to: (a) hold all Confidential Information in strict confidence using at least the same care it uses for its own confidential information (but no less than reasonable care); (b) not disclose it to any third party without prior written consent; (c) use it solely for the Purpose; and (d) limit access to those with a need to know who are bound by equivalent confidentiality obligations. 4. TRADE SECRET PROTECTIONS This Agreement is supplemented by the Illinois Trade Secrets Act (765 ILCS 1065/1 et seq.). The Parties also acknowledge that the federal Defend Trade Secrets Act (18 U.S.C. § 1836) may apply. DTSA NOTICE: Federal law provides immunity from liability for disclosure of a trade secret made in confidence to a government official or attorney for reporting a suspected law violation. See 18 U.S.C. § 1833(b). 5. TERM AND SURVIVAL This Agreement is effective for [TERM, e.g., TWO (2) YEARS] from the date first written above. Confidentiality obligations survive termination for [SURVIVAL, e.g., THREE (3) YEARS] from date of initial disclosure. Trade secret obligations survive as long as the information retains trade secret status under applicable law. 6. RETURN OR DESTRUCTION OF MATERIALS Upon request, the Receiving Party shall promptly return or certifiably destroy all Confidential Information and derivatives, and certify such destruction in writing. 7. NO LICENSE OR ASSIGNMENT Nothing in this Agreement grants any license, rights, or ownership interest in either Party's Confidential Information or intellectual property. 8. REMEDIES The Parties acknowledge that breach may cause irreparable harm not adequately compensated by money damages. The Disclosing Party is entitled to seek injunctive or equitable relief without the requirement of posting bond, in addition to all other available remedies. 9. GOVERNING LAW AND JURISDICTION This Agreement is governed by the laws of the State of Illinois, without regard to conflict of laws principles. The Parties consent to the exclusive jurisdiction of state and federal courts located in Cook County, Illinois. 10. ENTIRE AGREEMENT; AMENDMENT This Agreement constitutes the entire agreement between the Parties concerning confidentiality and supersedes all prior discussions on this subject. Amendments must be in writing signed by both Parties. 11. COUNTERPARTS; ELECTRONIC SIGNATURE This Agreement may be executed in counterparts. Electronic signatures are valid. IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above. [PARTY A FULL LEGAL NAME] Signature: _______________________ Name: ___________________________ Title: ____________________________ Date: ____________________________ [PARTY B FULL LEGAL NAME] Signature: _______________________ Name: ___________________________ Title: ____________________________ Date: ____________________________

One-Way Illinois NDA Template

Only one party discloses confidential information. Common when a company shares proprietary information with a contractor, vendor, or prospective hire. The disclosing party retains all protections.

One-Way NDA
ONE-WAY NON-DISCLOSURE AGREEMENT (Illinois — Governed by the Illinois Trade Secrets Act (765 ILCS 1065) and applicable federal law) This Non-Disclosure Agreement ("Agreement") is entered into as of [DATE] by and between: [DISCLOSING PARTY FULL LEGAL NAME], a [individual/entity type] with its principal place of business at [ADDRESS] ("Disclosing Party"); and [RECEIVING PARTY FULL LEGAL NAME], a [individual/entity type] with its principal place of business at [ADDRESS] ("Receiving Party"). 1. PURPOSE Disclosing Party intends to share certain confidential and proprietary information with Receiving Party for the purpose of [DESCRIBE PURPOSE, e.g., "evaluating a potential business engagement"] (the "Purpose"). 2. DEFINITION OF CONFIDENTIAL INFORMATION "Confidential Information" means any non-public information disclosed by Disclosing Party to Receiving Party in connection with the Purpose, including but not limited to: [LIST SPECIFIC CATEGORIES, e.g., financial projections, client lists, technical specifications, pricing, business strategies, and proprietary processes]. Exclusions apply for information that is publicly known, previously known to Receiving Party, independently developed, obtained lawfully from a third party, or required to be disclosed by law. 3. RECEIVING PARTY OBLIGATIONS Receiving Party shall: (a) keep all Confidential Information strictly confidential; (b) not disclose it to any third party without prior written consent; (c) use it solely for the Purpose; (d) apply at least reasonable care to protect it; and (e) promptly notify Disclosing Party of any known or suspected unauthorized disclosure. 4. TRADE SECRET PROTECTIONS This Agreement supplements the Illinois Trade Secrets Act (765 ILCS 1065/1 et seq.) and the federal Defend Trade Secrets Act (18 U.S.C. § 1836). DTSA IMMUNITY NOTICE: An individual shall not be held criminally or civilly liable for disclosure of a trade secret in confidence to a government official or attorney for reporting a suspected law violation. See 18 U.S.C. § 1833(b). 5. TERM AND SURVIVAL This Agreement is effective for [TERM, e.g., TWO (2) YEARS]. Confidentiality obligations survive termination for [SURVIVAL, e.g., THREE (3) YEARS] from date of disclosure. Trade secret protections survive indefinitely. 6. RETURN OF MATERIALS Upon written request, Receiving Party shall promptly return or certifiably destroy all Confidential Information and any copies, derivatives, or summaries thereof. 7. INJUNCTIVE RELIEF Receiving Party acknowledges that breach may cause irreparable harm, and that Disclosing Party is entitled to seek injunctive or equitable relief in addition to other remedies. 8. GOVERNING LAW This Agreement is governed by Illinois law. Disputes shall be resolved in the courts of Cook County, Illinois. 9. ENTIRE AGREEMENT This is the complete agreement between the Parties regarding confidentiality of the disclosed information. DISCLOSING PARTY: [FULL LEGAL NAME] Signature: _______________________ Name: ___________________________ Title: ____________________________ Date: ____________________________ RECEIVING PARTY: [FULL LEGAL NAME] Signature: _______________________ Name: ___________________________ Title: ____________________________ Date: ____________________________

Illinois NDA — Frequently Asked Questions

Key questions about NDA enforceability, duration, and Illinois trade secret law.

Is an NDA enforceable in Illinois?

Yes. NDAs are enforceable in Illinois when they protect legitimate confidential information, are not overbroad, and provide adequate consideration. The Illinois Trade Secrets Act (765 ILCS 1065) provides statutory protection for trade secrets and preempts conflicting common law claims. Illinois courts apply a reasonableness test to all restrictive covenants, including pure confidentiality agreements.

How does the Illinois Freedom to Work Act affect NDAs?

The Illinois Freedom to Work Act (820 ILCS 90) primarily restricts non-compete and non-solicitation agreements — not standalone NDAs. However, if your NDA includes non-compete or non-solicitation provisions, those combined clauses are subject to strict income thresholds and other requirements. Non-competes are banned for employees earning under $75,000/year; non-solicitations are banned for those earning under $45,000/year. Standalone confidentiality NDAs are not directly affected by these income thresholds.

How long does an Illinois NDA last?

Illinois courts enforce NDA terms of 2–5 years for standard business confidential information. Trade secrets can be protected indefinitely while the secret status is maintained. Illinois courts apply a reasonableness test to duration terms. Indefinite NDA terms applied to non-secret general business information are unlikely to be enforced. Standard practice for IL contractors and consultants is a 2–3 year term.

What is adequate consideration for an Illinois NDA?

For contractor NDAs, the consideration is typically the engagement itself or access to confidential information in the course of the engagement. For employee NDAs signed at hire, the job offer is sufficient consideration. For NDAs presented to existing employees, Illinois may require additional consideration beyond continued employment alone. Courts look at the totality of the circumstances, including the value of the confidential information disclosed.

What makes an Illinois NDA unenforceable?

An Illinois NDA may be unenforceable if: (1) it lacks adequate consideration, (2) the definition of Confidential Information is overbroad and covers general knowledge or public information, (3) it attempts to restrict trade secret disclosure to government agencies or attorneys in violation of whistleblower protections, (4) it was presented without a reasonable review period for employees, or (5) it violates the Illinois Freedom to Work Act by effectively functioning as a non-compete without meeting that statute’s requirements.

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