This Agreement allows San Jose Water Company to release specific customer information to the. Receiving. California courts have long ruled that companies can use NDAs to protect certain financial, technical, and businessrelated information.Many employers, therefore, require employees to enter into confidentiality agreement to protect trade secret and proprietary information. An employer must customize the definition of "confidential information" in their agreement. California laws prohibit certain terms in employment, separation, and settlement agreements between employers and employees, former.