MUTUAL NON-DISCLOSURE AGREEMENT

              In the business world, Mutual Non-Disclosure Agreements (MNDAs) are considered standard fare.  Perhaps few things illustrate my contrarian mentality more than the fact that I refuse to sign them and challenge any business that wants me to sign one.

             I've had several encounters with MNDAs and it's interesting the different reactions to the notion that I won't sign one.  If you've never seen one, it's several pages of subjective legalese about keeping intellectual property secret and not talking about certain things.

             I became a diehard anti-MNDA guy when the first outfit that asked me to sign one sent me a test with numerous scenarios.  It was glorified roll play and I was supposed to decide if the actions taken by the parties violated standard MNDA ethics.

             To say I flunked would be the understatement of the year.  To me, the right answers had no rhyme nor reason and I realized that if I had no idea what was okay and not okay, I certainly did not want to sign a paper that cast the judgment on a bunch of attorneys to figure out--at my expense.

             I can't imagine the amount of wrangling over these things in the business world.  As Franklin Covey articulated beautifully in The Speed of Trust, these kinds of agreements are like parasites on society.  They sap time and energy that if both parties can just trust each other become totally unnecessary.  Then all that time and energy can be devoted to the project at hand rather than posturing through reams of attorney-speak.

             Avid readers know that our farm has a 24/7/365 open door policy for anyone in the world to come anytime and see anything anywhere unannounced.  Does this mean I can't keep a secret?  Of course not.  I keep plenty of secrets.  But if you can't trust me to know what are secrets and what aren't, and if our whole relationship revolves around infringing on the MNDA, then how strong can our partnership ever be?

             Interestingly, an entrepreneurial endeavor contacted me about doing some consulting and when I refused to sign the MNDA, they capitulated and said it was just a formality anyway.  I'm working with them.  Can't tell you what or who, but their willingness to work with me anyway was a bright light in an otherwise black hole that swallows trust as if it's poison.

             I've certainly lost opportunities to hobnob with innovators and big wheels with this policy, but I consider that a worthwhile loss to gain nights of blissful sleep.  I really don't like signing documents agreeing for someone to sue me.  It just seems unwise.  I wish more innovations were public.

             The fellow who did the lion's share of our equipment repair work several years ago told me that in the late 1960s folks had figured out how to make 100 mpg carburetors, but oil companies bought the patents.  I don't know if that's true or not.  In my travels I've met some amazing inventors stymied because in seeking funding or a bigger platform got in bed with a big outfit that buried their unorthodox discovery.  These agreements kept the inventors from talking about it.

             I know this is not a one-sided deal and I'm not offended by folks who sign these.  But as a little potato, I figure anyone handing me a multi-page legalize dance card probably isn't a partner sincerely interested in my well-being.  I like hugs and hand shakes. 

             Is that naïve or impractical?            

joel salatin35 Comments