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CMA Foundation · Fundamentals of Business Laws and Business Communication · Legal Aspects of Business Communication

Before sending a business proposal that contains confidential pricing details to a prospective client, which precaution is most appropriate to protect the information legally?

Obtaining a signed non-disclosure agreement is the right precaution because it creates an enforceable contractual duty on the recipient to keep the pricing information confidential, whereas unmarked mail, public posting or open discussion give no legal protection against disclosure.

  1. AObtain a signed non-disclosure agreement from the recipientCorrect
  2. BSend it by ordinary mail without any marking
  3. CPost it on the company's public social media page
  4. DShare it orally in a crowded meeting

Explanation

A non-disclosure agreement creates a legally enforceable duty on the recipient to keep information confidential. The other choices expose the information to people who owe no duty of secrecy and offer no legal protection.

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