Answers

✅ TL;DR (Too Long; Didn’t Read) No, it’s not unwise — but it depends. Signing an NDA early in a conversation can be risky if it’s: Too broad One-sided Poorly written A good NDA should be mutual, specific, and aligned with the stage of the conversation. In some cases, refusing to sign may halt progress — but that’s not always a bad thing. Trust, judgment, and clarity matter more than a standard template. 🧠 Full Answer NDAs are a normal part of doing business — but timing, structure, and trust are everything. Here’s how to think through it: ⚖️ 1. Assess the Stage of Conversation First call or pitch deck? → Likely too early to sign anything Diligence stage with serious intent? → Signing may make sense. You shouldn’t be legally bound to secrecy before even knowing whether a real opportunity exists. 🤝 2. Request a Mutual NDA If you're open to signing: Ask for a mutual NDA — one that protects both parties Avoid NDAs that prohibit things like "working on similar ideas" or that are so broad they trap you for years Always read carefully or have a lawyer skim it. 🧠 3. Know the Real Risk Ideas are rarely the real asset — execution is. You won’t lose much by hearing a high-level pitch. But signing a poorly worded NDA can cost you freedom to build your own ideas later, especially if you’re working in the same space. 🔄 4. Flip the Conversation if Needed If someone insists on an NDA too early, try this: “I understand your need to protect your IP, but I typically don’t sign NDAs at the exploratory stage. Happy to hear the high-level version and see if we’re aligned. If we go deeper, we can revisit the legal part.” If they refuse — that tells you something, too. 🔍 What Was Missed or Confused in Previous Answers ❌ “People who use NDAs aren’t serious” – Overgeneralized. Some people use NDAs simply because that’s how they were advised. ❌ “Ideas are worthless” – Not always. Execution is key, but some early-stage IP or tech concepts do require discretion. ❌ “I hate NDAs” – Emotion ≠ legal guidance. Many responses shared opinions but didn’t clarify the legal or strategic risks of signing the wrong NDA. ✅ Correct point that NDAs only matter if you can afford to enforce them. A contract is only as strong as the party willing to defend it. 🧭 Final Word NDAs are not inherently unwise — but blindly signing one is. 👉 If you're considering it:Ask for mutual terms Read the scope carefully Make sure it's tied to a specific opportunity, not every idea under the sun ✅ TL;DR (Too Long; Didn’t Read) No, it’s not unwise — but it depends. Signing an NDA early in a conversation can be risky if it’s: Too broad One-sided Poorly written A good NDA should be mutual, specific, and aligned with the stage of the conversation. In some cases, refusing to sign may halt progress — but that’s not always a bad thing. Trust, judgment, and clarity matter more than a standard template. 🧠 Full Answer NDAs are a normal part of doing business — but timing, structure, and trust are everything. Here’s how to think through it: ⚖️ 1. Assess the Stage of Conversation First call or pitch deck? → Likely too early to sign anything Diligence stage with serious intent? → Signing may make sense You shouldn’t be legally bound to secrecy before even knowing whether a real opportunity exists. 🤝 2. Request a Mutual NDA If you're open to signing: Ask for a mutual NDA — one that protects both parties Avoid NDAs that prohibit things like "working on similar ideas" or that are so broad they trap you for years Always read carefully or have a lawyer skim it. 🧠 3. Know the Real Risk Ideas are rarely the real asset — execution is. You won’t lose much by hearing a high-level pitch. But signing a poorly worded NDA can cost you freedom to build your own ideas later, especially if you’re working in the same space. 🔄 4. Flip the Conversation if Needed If someone insists on an NDA too early, try this: “I understand your need to protect your IP, but I typically don’t sign NDAs at the exploratory stage. Happy to hear the high-level version and see if we’re aligned. If we go deeper, we can revisit the legal part.” If they refuse — that tells you something, too. 🔍 What Was Missed or Confused in Previous Answers ❌ “People who use NDAs aren’t serious” – Overgeneralized. Some people use NDAs simply because that’s how they were advised. ❌ “Ideas are worthless” – Not always. Execution is key, but some early-stage IP or tech concepts do require discretion. ❌ “I hate NDAs” – Emotion ≠ legal guidance. Many responses shared opinions but didn’t clarify the legal or strategic risks of signing the wrong NDA. ✅ Correct point that NDAs only matter if you can afford to enforce them. A contract is only as strong as the party willing to defend it. 🧭 Final Word NDAs are not inherently unwise — but blindly signing one is. 👉 If you're considering it: Ask for mutual terms Read the scope carefully Make sure it's tied to a specific opportunity, not every idea under the sun Would you like a free mutual NDA template you can suggest instead of accepting theirs? I’m happy to share a vetted one that keeps the conversation fair — and if you’d prefer to talk it through, we can schedule a quick call to walk through it together.

✅ TL;DR (Too Long; Didn’t Read) If you're incorporated in Delaware but operating out of California, you can legally choose either as the governing law — but practically, choose the one where you're most likely to enforce the NDA. Use your California HQ address, not the Delaware registered agent. Registered agents receive legal documents — they’re not your business address. 🛠️ Best practice: choose California law if that’s where your team, operations, or legal support are based. Stick with Delaware only if there’s a strategic or investor-driven reason to do so. 🧠 Full Answer NDAs are enforceable contracts — and jurisdiction matters if something goes wrong. Here’s how to think through it practically: 📍 1. What Address Should You Use? Use your main office address (California), not your Delaware registered agent. ❌ A registered agent exists to receive legal service — not to appear on business agreements. ✅ Your actual HQ shows where you operate, hire, and engage. ⚖️ 2. Which State’s Governing Law Should You Choose? Either Delaware or California is legally valid. But here’s when to choose which: Use California Use Delaware Your HQ and team are in CA You want consistency with DE corp law You’ll enforce disputes locally Investors expect Delaware contracts You want lower local legal costs You already have DE-based legal counsel In short: ✔️ If you're early-stage and want practicality → Go with California ✔️ If you’re raising money or building for acquisition → Delaware may be better 🛡️ 3. Add a Dispute Resolution Clause No matter what state law you choose, add a clause that says disputes must go to arbitration or mediation in your city. ✅ Saves time ✅ Avoids court ✅ Reduces costs if something goes sideways 🔍 What Was Missing or Impractical in Previous Answer ❌ “You can pick Delaware, California… or India” – Technically true, but not practical. You won't enforce a U.S. NDA in India. ❌ No answer on address – The original response didn’t address the question about using the registered agent address, which is a common mistake for early-stage founders. ❌ Vague business advice – “Choose a friendly jurisdiction” is not useful without examples. See side-by-side table and real-life founder context. 🧭 Final Word ✅ Use your California HQ address in the NDA ✅ Choose governing law based on where issues would actually be resolved ✅ Include a dispute resolution clause to avoid court if possible ✅ Keep it clean, mutual, and focused on real-world risk Was this helpful? If yes, an upvote is always appreciated. Need help discussing your NDA before sending it? I’m happy to schedule a call.

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