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Illinois Non-Disclosure Agreement

Not Attorney-ReviewedAuthor: Arjun AnnamalaiMethodology: Statutory Verification

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Illinois at a glance: Trade Secret Law: Illinois Trade Secrets Act, 765 ILCS 1065/1 et seq. · Employee Protections: Freedom to Work Act restricts covenants for lower-wage workers · Enforceability: Enforceable if reasonable in scope and duration

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Overview

Non-Disclosure Agreements in Illinois

Illinois enforces NDAs under general contract law and the Illinois Trade Secrets Act, which protects confidential business information from misappropriation. Courts require confidentiality restrictions to be reasonable in scope and duration. Illinois' Freedom to Work Act restricts non-compete and certain confidentiality-adjacent restrictive covenants for lower-wage employees, so employers should ensure NDA-adjacent restrictions comply with these employee protections.
Key Facts

Illinois Non-Disclosure Agreement — Quick Reference

RequirementIllinois Rule
Trade Secret LawIllinois Trade Secrets Act, 765 ILCS 1065/1 et seq.
Employee ProtectionsFreedom to Work Act restricts covenants for lower-wage workers
EnforceabilityEnforceable if reasonable in scope and duration
NotarizationNot required
Typical Duration1–5 years; indefinite for trade secrets
Legal Requirements

Illinois Legal Requirements

  • Restrictions must be reasonable in scope, time, and geographic area.
  • Must protect a legitimate business interest such as trade secrets or confidential client information.
  • Restrictive covenants for lower-wage employees may be limited under the Illinois Freedom to Work Act.
  • Cannot prevent disclosure of illegal conduct or wage discussions protected under federal law.
Governing Laws

Illinois Governing Laws

765 ILCS 1065/1 et seq.
Illinois Trade Secrets Act
Defines trade secrets and provides remedies for misappropriation, including injunctive relief and damages, in Illinois.
820 ILCS 90/1 et seq.
Illinois Freedom to Work Act
Restricts non-compete and certain restrictive covenants for lower-wage employees in Illinois.

Read the full text of these laws at Cornell Law School's Illinois legal resources or your state legislature's official website.

Questions & Answers

Illinois Non-Disclosure Agreement — Frequently Asked Questions

Are NDAs enforceable in Illinois?

Yes. Illinois enforces NDAs that are reasonable in scope and duration and that protect a legitimate business interest.

Does Illinois restrict NDAs for lower-wage workers?

Illinois' Freedom to Work Act limits non-compete and certain restrictive covenants for lower-wage employees. Pure confidentiality provisions protecting trade secrets are generally still enforceable.

Does Illinois have a trade secrets law?

Yes. The Illinois Trade Secrets Act (765 ILCS 1065/1 et seq.) provides remedies for misappropriation of confidential business information.