Why Your Lawyer Need Not Sign an NDA
Once in a while, when I send an engagement letter, the prospective client wants to add confidentiality provisions to protect its trade secrets. The following is the explanation that I provide as to why such provisions – let alone a separate nondisclosure agreement (NDA) – are not required in an attorney’s engagement letter.
California Business and Professions Code Section 6068 specifies the fundamental obligations of an attorney. Subsection (e)(1) states that each attorney must “maintain inviolate the confidence, and at every peril to himself or herself to preserve the secrets, of his or her client.” (Emphasis added.) Attorneys in other states have similar obligations.
This standard is much more stringent than the obligations set forth in the typical NDA. See, for example, the Sample Mutual and Unilateral NDAs available as Free Downloads on the Downloads page.
Interestingly, the attorney’s obligation to maintain client confidences may arise even if no attorney-client relationship is created! The State Bar of California’s Formal Opinion No. 2003-161 states this situation can occur if “the attorney’s words or actions induce in the speaker a reasonable belief that the speaker is consulting the attorney, in confidence, in his professional capacity to retain the attorney or to obtain legal services or advice.” (Emphasis added.)
Dana H. Shultz, Attorney at Law +1 510-547-0545 dana [at] danashultz [dot] com
This blog does not provide legal advice and does not create an attorney-client relationship. If you need legal advice, please contact a lawyer directly.
Contracts, General Legal, Intellectual Property