The importance of having a non-disclosure agreement

One of the most common ways companies and individuals protect their intellectual property is through non-disclosure agreements (NDAs), hundreds of which are signed every day throughout the world. Compared to patents, litigated cases involving NDAs are relatively rare. However, as the recent case of Celeritas Technologies vs. Rockwell International illustrates, when litigated, an NDA can be of great value-even more valuable than a patent. The Celeritas case involved the hot area of wireless communication systems. If Celeritas had relied only on its patent, it would have received nothing because its patent was found invalid. With the NDA, it received millions for its creative work.