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Stop NDAs That Hide Abuse

Full Title:
Misuse of Non-disclosure Agreements Act

Summary#

  • This bill aims to stop the use of non-disclosure agreements (NDAs) to hide violence, harassment, coercion, or discrimination in Nova Scotia.

  • It still lets a survivor choose an NDA, but only with strong safeguards to prevent pressure or harm to the public.

  • Bans NDAs that have the purpose or effect of hiding violence, harassment, or discrimination, unless the survivor clearly asks for one.

  • Sets rules for any survivor‑requested NDA: independent legal advice opportunity, no undue pressure, limited time period, an option for the survivor to waive their own confidentiality later, and plain‑language wording.

  • Says NDAs cannot block reports to police, the Human Rights Commission, or workplace safety officials, or stop certain private talks (like with a lawyer, doctor, or named supporter).

  • Makes any illegal NDA clause void, while keeping the rest of the settlement in place (for example, payment terms still stand).

  • Public bodies (government departments, Crown corporations, public universities/colleges) may only use an NDA if the survivor specifically and voluntarily requests it after getting legal advice; they also cannot sue survivors to enforce NDAs.

  • Allows keeping the settlement amount confidential even without a broader NDA.

  • Applies to NDAs made before, on, or after the law takes effect; fines of $5,000–$50,000 can apply for entering banned NDAs after it takes effect.

  • Takes effect six months after Royal Assent, or earlier if proclaimed.

What it means for you#

  • Workers and students

    • You cannot be forced into an NDA to hide harassment, discrimination, or violence.
    • You keep the right to report to the Human Rights Commission, workplace safety officials, or police.
    • You may still choose privacy protections that hide your identity (a “victim‑protective” clause), and this must be offered to you.
    • If you sign an NDA that doesn’t meet the law’s rules, that NDA part is void, but any settlement payment or other agreed terms still apply.

  • Survivors (relevant persons)

    • You can still ask for an NDA, but only if it is your clear wish. You must have a real chance to get independent legal advice first.
    • Any NDA must be for a set time (not forever) and must include a way for you to waive your own confidentiality later if you choose.
    • An NDA cannot stop you from speaking to police, a lawyer, a doctor, a psychologist, a nurse or social worker, victim services, the Ombudsman, a community elder or cultural counsellor, or a named friend/family/supporter in the agreement.
    • You may share artistic expression about your experience if you don’t name the person or organization or reveal NDA terms.
    • No one can sue you, threaten you, or demand repayment because you refused to sign an NDA.

  • Employers and organizations (party responsible)

    • You cannot use NDAs to hide wrongdoing. Entering a banned NDA after the law takes effect can lead to fines.
    • You must not stop lawful investigations or reports, including under human rights or workplace safety laws.
    • If you present a settlement, you must offer a survivor‑protective confidentiality clause that shields their identity.
    • You may still keep the settlement amount confidential.
    • Public bodies have extra limits: they can only use an NDA if the survivor specifically and voluntarily requests it after the chance to get legal advice, and they cannot sue to enforce NDAs against survivors.

  • Individuals accused of wrongdoing

    • You cannot enter into an NDA with a survivor to hide misconduct unless the survivor clearly asks for one and all safeguards are met. Otherwise, you risk fines.
    • You also cannot use a separate NDA to block a lawful investigation.

Expenses#

No publicly available information.

Proponents' View#

  • Stops silencing of survivors and helps reveal patterns of misconduct, making schools, workplaces, and public institutions safer.
  • Reduces repeat harm by preventing NDAs that hide systemic problems.
  • Respects survivor choice by allowing NDAs only when the survivor requests them and key safeguards are in place.
  • Protects free expression and legal rights by ensuring NDAs cannot block reports to authorities or health professionals.
  • Focuses on groups who face higher harm, including women, 2SLGBTQIA+ people, and racialized individuals.

Opponents' View#

  • Could make settlements harder to reach, leading to longer disputes and higher legal costs for both sides.
  • The retroactive effect (applying to past NDAs) may create uncertainty about old agreements and invite challenges.
  • Employers and institutions may face reputational risk if more cases become public, even when allegations are contested.
  • Some survivors may feel they lose leverage if broad confidentiality is limited, which could affect the size or speed of settlements.
  • Complying with new rules may require policy changes, training, and revised contract templates across workplaces and schools.