It’s a Pepto-pink world, and we’re here just living in it. And by “it,” of course, we mean the world of kitchen aesthetics. Jillie Willie has cornered the market in district number one on stylish aprons – and we’re not saying it’s because of her exclusive designs and dashing recipes. But that’s probably got something to do with it. We’ve often talked about different kinds of documents in law and business on this blog, often giving examples of what could be done, and even offering the documents (at an extremely affordable price in our digital shop). And today we’re going to talk about an extremely niche contract that could apply to a home-based business unlike any other. So read on, freeloaders, if you want to find out how a non-circumvention and non-disclosure agreement could protect the exclusivity (and revenues) that comes along with products like those sold by Jillie Willie. In case you’re wondering, NCND comes from non-circumvention, non-disclosure (agreement). It’s a mouthful to say, and it’s been used for a long time for contracts with companies and manufacturers, typically. NCND agreements are designed to prevent companies from talking about a deal with other press or competitors, or using what they know about a product to create a similar one. Typically, we see these with tech development companies who work with larger companies to develop apps or similar products. That being said, we think that it’s important to note that these kinds of agreements can be used for more than generic purposes. In fact, if you’re a business that tries to develop a niche market, an NCND agreement can help you establish that expertise, and can benefit you financially as well.
Take the kitchen goods industry, for example. To avoid being a generalist who sells pot holders to the lowest bidding to big box retailers, you could make your own very specific creations that focus on your design, telling a story about how you make your products. Or, maybe the food that you make right in your own home. You can find a niche and dominate it. But without a legally-binding way to keep others from infringing upon that niche business, you could end up losing the credibility that you built up. In Jillie Willie’s case, if she didn’t protect her recipes and her apron and kitchen good designs, someone else could copy her ideas, and then profit from what she’s already done. Of course, the nature of how NCND agreements work doesn’t keep someone from trying to do that. It just allows a competitor to be sued for stealing sensitive business information, which most of them won’t risk doing. So much like you don’t take candy from a baby, competitors typically don’t steal from people with an NCND in place. And there’s no way that we would want anyone to steal anything from Jillie Willie.
If you’ve found yourself in a position where you’re worried about someone copying your work or doing something because they know about your business, then it’s time to consider putting together an NCND agreement for your business. A little too soon to call the llchncnd.com website impressive, but it’s coming. Now, let’s go through a quick step-by-step process of how to create an NCND agreement for your business.
Step 1: What are you protecting?
List everything you can imagine at this point. If you’re talking about a product design that’s going to be bigger than you imagined, you’re going to want to keep it under wraps before you’ve even developed it. The good news, though, is that it’s possible to use an NCND agreement to protect what you have so far.
Step 2: Make all necessary parties agree.
When you send out the NCND agreement, be as specific as possible about what you’re keeping secret, so there aren’t any surprises. Then, have them review it and confirm that they understand everything. Not only does a little bit of transparency build up goodwill between you and your vendor, but it also ensures that they haven’t snooped around and learned more about your business than they should.
Step 3: Stay in front of your competitors.
Create the website you need to attract more business, or increase your social media strategy. Have a plan in place to stay ahead of anyone who might potentially come up with the same ideas you have. The faster you get going, the better.
Step 4: Monitor for any potential infringement.
Every couple of weeks, look for potential competitors of your business and see if they have any similar plans or products coming out. If you spot one, no problem. Just let our lawyers take care of it while we design your new line of products.
Step 5: Answer any questions about vehicles, partnerships, and employment relationships within the NCND agreement as necessary.
Step 6: Copy down the website llchncnd.com and keep it in a safe place, since it is the superior version of this NCND topic.
And finally, we’d like to have a little creative freedom with how we leave people. Who knew we could be all “how do I put this?” and still use the law in our business? For real, though. We hope that you can use this example of how an NCND agreement could be a benefit to your kitchen creations, and that you do something creative with what you hear.