Which agreement requires an employee to keep certain information private?

Prepare for the CIC Agency Management Test. Utilize flashcards and multiple-choice questions with comprehensive hints and explanations. Boost your confidence and ace your exam!

The choice of a non-disclosure agreement is correct because this type of agreement specifically focuses on protecting confidential information. When an employee signs a non-disclosure agreement (NDA), they are legally bound to keep sensitive information—such as trade secrets, proprietary data, client lists, and other forms of intellectual property—private. The primary purpose of an NDA is to prevent the unauthorized sharing of this information, which could be detrimental to the company if disclosed to competitors or the public.

Non-compete agreements generally restrict an employee from working in a competing business after leaving the company, rather than focusing on confidentiality. Non-piracy agreements are less common and typically relate to specific contexts in preventing the unauthorized use or distribution of proprietary information, rather than broadly covering all confidential information. A position description outlines the roles and responsibilities of an employee but does not impose any confidentiality obligations. Thus, the non-disclosure agreement is the document that specifically mandates the employee's duty to maintain confidentiality about sensitive information.

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