Confidentiality Provisions in Finance Transactions: Borrower and Lender Considerations

This CLE webinar will provide finance counsel with an overview of confidentiality and nondisclosure agreements and their uses in loan transactions. The panel will discuss the growing use and complexity of confidentiality and nondisclosure agreements and considerations for borrowers and their prospective lenders, provide drafting tips and sample language, and review recent trends and developments.

Confidentiality and nondisclosure agreements are used in many business relationships, including financing transactions. In financing transactions, the parties will typically enter into a confidentiality or nondisclosure agreement at the outset of an engagement to ensure that information exchanged during negotiations will be kept confidential and only used by the prospective lender for purposes of deciding whether or not to extend credit or financing to the potential borrower. 

Borrowers want to protect their financial plans, projections, and other sensitive business information, including fund and investor information, when negotiating the terms of a credit facility. In today's market, borrowers are demanding more detailed and restrictive confidentiality and nondisclosure terms which is placing increased operational demands and burdens on lenders.

Lenders seek flexibility with confidentiality agreements to maximize their ability to use confidential information to ensure they have enough information to make an informed decision to extend credit while also being able to meet their compliance and reporting obligations with state and federal regulatory authorities. 

Listen as our authoritative panel examines the latest trends and developments with confidentiality and nondisclosure agreements in financing transactions. The panel will highlight the need to go beyond common boilerplate provisions to craft terms that balance the needs and interests of both borrowers and lenders.