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A confidentiality agreement puts each party on notice that what is being discussed is solely for each party and only for the stated purpose within the agreement. The critical elements within the confidentiality agreement are therefore that parties must specifically state the type of information that is being disclosed and also the intended purpose for which the information is to be used.

To conclude, there's perhaps no more apt way to conclude this piece, than to quote this very fitting statement by contract law attorney, Ivan Hoffman, of California: "[Given that] the letter of intent is essentially a legally worthless document [but yet one that could potentially cause many serious legal problems for the signer]. It is not clear to me the reason any party would ever bother to create such a document and yet I have seen it used on many occasions."

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