Waiver Provisions
Protects your right to enforce the NDA later, even if you overlook or excuse a prior violation.
Low ComplexityProtects your right to enforce the NDA later, even if you overlook or excuse a prior violation.
Low ComplexityA waiver provision (also called a "no waiver" clause) states that if one party fails to enforce a right under the agreement, or overlooks a breach by the other party, that failure does not waive their right to enforce the same or other provisions in the future.
Without this clause, a party who repeatedly ignores minor breaches might be found to have "waived" their right to later enforce the agreement. The waiver clause prevents this by requiring that any waiver be explicit and in writing.
Under the common law doctrine of "waiver," a party may lose contractual rights through their conduct - especially repeated failure to enforce. Courts look at whether the non-enforcing party's actions gave the other side a reasonable belief that the right would not be enforced. A well-drafted no-waiver clause helps rebut this argument by showing the parties intended enforcement to remain discretionary.
If only one party can claim the benefit of the no-waiver clause, the other party risks losing rights through non-enforcement while the protected party doesn't.
Watch for language that creates automatic waivers under certain conditions (e.g., "failure to object within 30 days constitutes waiver"). These undermine the purpose of the clause.
A waiver clause that doesn't require written waivers leaves room for arguments about oral or implied waivers - essentially defeating the purpose.
Check that the waiver clause doesn't contradict the amendment clause. Both should require written consent. Inconsistency creates ambiguity.
Waiver provisions are standard boilerplate but should be consistent with your amendment and notice clauses.
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