Why NDA is Important for Custom Design Water Bottle Manufacturing?


Table of Content

What is a Non-Disclosure Agreement

NDA (Non-Disclosure Agreement) is an agreement between the parties to an agreement not to disclose to any third party the written or oral information disclosed by one party to the other party. If the party liable for confidentiality breaches the agreement and discloses confidential information to a third party, it will bear civil or criminal liability.

Key Element of Non-Disclosure Agreement

Non-Disclosure Agreements generally include confidentiality content, subject of responsibility, confidentiality period, confidentiality obligation, and liability for breach of contract. Non-Disclosure Agreements can be divided into unilateral Non-Disclosure Agreements and bilateral Non-Disclosure Agreements. A unilateral Non-Disclosure Agreement is an agreement in which one party has a unilateral confidentiality obligation to the other party.

The details main contents of the Non-Disclosure Agreement shall include the following:

  1. Identification of the parties like the names, domicile, contact information
  2. Description of the confidential information, Party A and Party B confirm that Party B shall keep confidential Party A’s trade secrets including but not limited to the following contents: Technical information: technical scheme, engineering design, test report, drawings, samples, etc. Business information: including business policy, investment decision intention, product, and service pricing, etc. Matters for which the Company undertakes confidentiality obligations in accordance with laws or relevant agreements.
  3. Exclusions from confidentiality treatment, as for the non-confidential content, can both parties negotiate how to deal with it.
  4. Misappropriation, if one party encroaches or provides the confidential content stipulated in the confidentiality Agreement to a third party, what penalty should be imposed and both parties agree on this?
  5. Obligations and requirements, Party A shall provide normal working conditions, favorable application, and production conditions for Party B’s inventions and scientific research achievements, and shall reward Party B according to the economic benefits created. Party B shall, as required by Party A, engage in the design and development of operation, production, and scientific research projects, and deliver the results and materials of production, operation, design, and development to Party A, etc, all of can be stated in the agreement.
  6. Term of the agreement, the duration of the confidentiality agreement, such as the duration of time or the duration of the cooperation.
  7. Signatures, seals, and dates of both parties. The signature shall be handwritten, and the document in duplicate kept by each party.

Importance of an NDA for Custom Design Water Bottle Development

Non-Disclosure Agreement not known to the public means that the information is not directly available through open channels. To bring economic benefits and practicability to the right holder means that the information has definite applicability and can bring real or potential economic benefits or competitive advantages to the right holder. Adopt confidentiality measures, including signing confidentiality agreements, establishing confidentiality systems, and taking other reasonable measures. Technical information and business information, including design, procedure, product formula, production process, production method, management know-how, customer list, source information, production and marketing strategy, tender bottom price, and tender document content, etc. 

Non-Disclosure Agreement can help you protect your important designs, Business secret is the secret weapon for enterprises to participate in market competition, which contains huge and core economic interests, so there must be legal risks caused by disclosure. The confidentiality obligation of the producer is that the producer shall undertake the obligation to keep the business secrets of the company no matter during or after the cooperation, and there is no time limit and no need to pay the confidentiality fee. The role of a confidentiality agreement in addition to prior prevention, mainly after the relief. If one party infringes the business secret of the enterprise and there is a confidentiality agreement, the enterprise can prove that the specific information is its business secret by virtue of the confidentiality agreement, and require the other party to bear the liability for breach of contract according to the agreement. However, suppose there is no confidentiality agreement between the two parties. In that case, the enterprise should first prove the existence of the trade secret and can only ask the other party to bear the tort liability, which will increase the burden of proof and legal risk of the enterprise in arbitration or litigation. That’s why NDA is important.

Custom Water Bottle Tumbler Manufacturing Project Steps

  1. Idea Generation: The buyer proposes the required general design, product concept, necessary performance, and functional requirements, then informs the supplier.
  2. Research: After knowing the customer’s demand, the supplier will discuss with the R&D center of its own department about the rationality and irrationality, whether it can be realized, etc., and then negotiate with the customer to solve the existing problems.
  3. Planning: Either party shall make a drawing after coordinating all the information, indicating all the dimensions, accessories, and materials of the product, so that the seller can check and discuss the feasibility, communicate and solve the problems reflected in the drawing, estimate the mold opening cost, time, expense, and price of later products for the buyer’s reference and decide whether to continue.
  4. Sourcing: After the buyer agrees, the seller shall specify whether the production factory, its own factory shall provide the whole set, or outsourcing. If there are parts that need outsourcing, it shall determine the supply capacity, quality, and price of the factory, and then make a final offer to determine the mold cost and the unit price of goods, confirm with the buyer about the delivery date and other details in advance, sign the contract, and then the buyer pays.
  5. Commercialization: After the buyer receives the advance payment, the seller starts to arrange the production, finally confirms the order details and accessories, etc., produces the pre-production samples, takes photos for confirmation after the completion of the pre-production samples, or sends them to the customer for confirmation. If the pre-production samples are unqualified, modify them again according to the customer’s requirements, continue to arrange the mass production after the verification, arrange the quality inspection after the completion of the production, and arrange the shipment only after the quality inspection is qualified.

Reliable Water Bottle Manufacturer in China – Everichhydro

Choosing Everichhydro as your water bottle manufacturer allows you to reduce your operating expenses while enjoying the benefits that our water bottle products can give you. With more than 20 decades in water bottle wholesale manufacturing, we embrace automation and invest a lot into it to stay competitive in the industry. By using the robot system to do labor work, the efficiency has been significantly improved and greatly meets the standards of our customers.


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