A Mutual NDA establishes reciprocal obligations to protect proprietary and confidential information. This playbook addresses definition scope, duration, and permitted disclosure exceptions.
Why This Matters: Ensuring regulatory and policy compliance mitigates the risk of fines, reputational damage, and transaction shutdowns.
Negotiation strategy
If you're the Disclosing Party A:
Negotiate for comprehensive compliance covenants that include audit rights and clear remediation procedures. Ensure the clause aligns with your risk management strategy.
If you're the Disclosing Party B:
Focus on limiting compliance obligations to reasonable and necessary requirements. Propose mutual audit rights to ensure fairness.
Essential elements
1
Compliance Covenants
Ongoing adherence to laws.
2
Audit Rights
Verification of compliance adherence.
3
Remediation Procedures
Addressing identified breaches.
Action framework
ACCEPT
Propose edits to clarify scope and include specific audit rights.
EDIT
Reject if the clause imposes unreasonable compliance burdens.
ADD
Add if missing to ensure adherence to laws and policies.
PRO TIP
Always tailor compliance clauses to the specific regulatory environment of the transaction.
Example clauses
FAVORABLE
Preferred Compliance Clause
"The parties shall comply with all applicable laws and regulations and maintain internal policies post-closing. The parties grant each other audit rights to ensure compliance and agree to promptly remediate any identified breaches."
NEUTRAL
Standard Compliance Clause
"The parties agree to comply with applicable laws and regulations post-closing."
UNFAVORABLE
Weak Compliance Clause
"The parties will attempt to comply with applicable laws as feasible."
Fallbacks
High-Risk Projects
In high-risk projects, ensure compliance clauses are robust and include detailed audit and remediation processes.
Cross-Border Transactions
Cross-border deals require compliance clauses to address multiple jurisdictions and regulatory bodies.
Regulated Industries
In regulated industries, compliance clauses must align with industry-specific regulations and standards.
FEATURED SOLUTIONS
Contract Email Agent
Self-service Al for instant contract review and markups.
Never leave your inbox. Effortless contract markups and summaries—delivered straight to your inbox. No signups, no apps, no plugins, no playbooks, no delays.
Import PDF. Redline on DocJuris. Export to Word. Save a day of work.
Import locked PDFs or Word docs and get work done with our world-class contract editing platform. Track your changes and comments and export seamlessly to MS Word without the headaches of clunky add-ins.
Markup clauses in seconds. See the reasoning, stay in control.
Negotiate with confidence using DocJuris’s AI-powered suggestions. Pick a suggested action to balance or lean specific terms in favor of a party. Or, quickly make a clause mutual or simpler with a single click without the back-and-forth.
Uncover opportunities and risks in your signed contracts.
Turn your contracts into structured insights. With Repository AI, DocJuris analyzes every imported agreement—so you always know what’s expiring, auto-renewing, or exposing risk. Total visibility, zero guesswork.
Unlike complex CLMs with long implementations and steep learning curves, DocJuris is built for speed and simplicity. We integrate with your workflow—whether connecting to a CLM or uploading agreements manually—so you're up and running in days, not months.
WEEK 1
CLM Readiness and Design
Our CX team works with you to understand your contracting challenges, prioritize key workflows, and identify the biggest impact areas. We build a tailored implementation plan that fits your needs.
WEEK 2
Install Module
We connect DocJuris to your contract repositories, set up admin and user accounts, and ensure your environment is ready for success.
WEEK 3
Deliver & Test
Your team builds initial playbooks, reviews existing clause libraries, and trains the DocJuris agent to align with your internal standards and negotiation positions.
WEEK 4
Launch
We support you in rolling out DocJuris to a pilot group or your full organization—with launch materials, training, and hands-on support to drive adoption from day one.
Not another CLM
Tackle everything your team needs using existing IT without expensive consultants, outrageous user licensing fees, or complex coding. DocJuris takes on the heavy lift and delivers your requirements with its people, process, and technology.
See how DocJuris can automate your legal, procurement, and sales operations.
DocJuris is not a law firm or a substitute for an attorney or law firm. We cannot provide any kind of advice, explanation, opinion, or recommendation about possible legal rights, remedies, defenses, options,selection of forms or strategies.