A South Dakota non-disclosure agreement is a written contract between two (2) parties that prohibits the dissemination of information shared between them. Establishing this agreement allows individuals or companies to protect their sensitive information when hiring new employees, working with contractors, or engaging in other business relationships. The type of information protected by an NDA can include designs, product prototypes, and any other information that may be advantageous to a competitor in the same industry. As an NDA is a legal agreement, a breach of contract may result in legal action against the party responsible for the “misappropriation.”