What is the term for a signed agreement that defines what data must remain confidential and cannot be shared outside the relationship?

What is the term for a signed agreement that defines what data must remain confidential and cannot be shared outside the relationship?

• A. Memorandum of Understanding (MOU)
• B. Non-Disclosure Agreement (NDA)
• C. Service-Level Agreement (SLA)
• D. Interagency Agreement

Answer: (B)

A signed agreement that defines what data must stay confidential and cannot be shared outside the relationship is a Non-Disclosure Agreement. It creates a legal obligation to protect sensitive information, specifying what counts as confidential, who may access it, how it must be handled, and under what circumstances disclosures are allowed. It also covers the duration of the obligation and remedies for breaches, which is key when parties need to share sensitive data but want to prevent leaks or misuse. This differs from an MOU, which outlines intended cooperation and isn’t always binding; a service-level agreement, which focuses on performance standards; and an interagency agreement, which governs collaboration between government entities and isn’t primarily about confidentiality.