Legal Question in Business Law in Colorado

Re: confidentiality / non compete

There is no generally accepted supplier non compete agreement. Contact an attorney to advise you about possible agreements and strategies to assist in this matter.

Re: confidentiality / noncompete

At this stage, you'll probably only be able to get most suppliers to sign a reasonably drafted Non-Disclosure Agreement ("NDA").

You'll want this to be fairly specific, as different types of products and the intellectual property that accompany them can require differing descriptions (e.g., an electronic device vs. an aircraft) and differing types/levels of enforcement (e.g., it's often necessary to require specific enforcement, but liquidating damages can be less appropriate).

In some instances, a vendor will allow you to include "non-circumvention" language that would entitle you to stop them from going around you to your customers, employees, other vendors, etc. But it's fairly rare at this stage. Most start-ups want a reasonable but enforceable NDA.

Feel free to contact us if we can help.