California · NDA
California NDA / Confidentiality Agreement
California's Silenced No More Act (SB 331, codified at Cal. Civ. Code § 1001, effective January 2022) significantly restricts what NDAs can cover in California. Settlement agreements and employer-imposed NDAs cannot prevent an employee from disclosing unlawful workplace conduct, including discrimination, harassment, retaliation, and wage theft. Clauses that attempt to impose such restrictions are void and unenforceable. California freelancers and contractors also benefit from the Freelance Worker Protection Act (SB 988).
California's SB 331 (Silenced No More Act) prohibits NDAs that prevent disclosure of unlawful workplace conduct, any NDA clause covering discrimination, harassment, or retaliation is void and unenforceable in California.
Governing law
Cal. Civ. Code § 1001 (SB 331, Silenced No More Act, 2022)
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Cites Cal. Civ. Code § 1001 (SB 331, Silenced No More Act, 2022). Formatted for USPS Certified Mail. Instant PDF.
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California NDA FAQs
What can an NDA legally restrict in California?▾
Legitimate trade secrets, proprietary business information, client lists, and financial data. California NDAs cannot cover: disclosure of harassment, discrimination, or retaliation (Cal. Civ. Code § 1001), the existence of a settlement for such conduct, or any workplace conduct that violates FEHA or other California laws.
Is my existing NDA enforceable if it covers harassment or discrimination?▾
Any NDA provision prohibiting disclosure of unlawful conduct is void and unenforceable under Cal. Civ. Code § 1001, regardless of when the NDA was signed. You cannot be penalized for disclosing such information despite an NDA.
What's the difference between an NDA and a non-compete in California?▾
California has long banned non-compete agreements under Cal. Bus. & Prof. Code § 16600. NDAs (confidentiality agreements) are separate and can be valid for legitimate trade secrets. The confusion arises when NDAs are written so broadly they function as non-competes, California courts void such provisions.
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