ITPEC IP October 2024 Question 73

Topic: Legal AffairsAlso asked in April 2023

Which of the following is the most appropriate description of NDA?

Explanation

A contract to keep the other party's confidential information secret — NDA stands for non-disclosure agreement.

An NDA (also called a confidentiality agreement) is concluded before parties exchange information, for example when discussing a joint project or outsourcing. It defines what counts as confidential, the permitted purpose and recipients, the duration of the obligation, the return or destruction of materials, and the consequences of a breach. It can be one-way or mutual.

Answer (b)

Why not others:

  • •(a) — an organization that monitors and analyzes security threats is a SOC (Security Operation Center)
  • •(c) — an agreed service-quality standard between provider and user is an SLA (Service Level Agreement)
  • •(d) — a hierarchical decomposition of project tasks is a WBS (Work Breakdown Structure)

Key rule: NDA protects disclosed secrets, SLA fixes service levels, WBS breaks down project work, and SOC watches for security threats; exam distractors often swap these acronyms.

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