Bill 217: Misuse of Non-disclosure Agreements Act

Any business operating in Nova Scotia that employs staff or interacts with the public could be affected, but the bill is most relevant to employers who have previously used NDAs to settle workplace harassment, discrimination, or violence complaints — think HR managers at mid-sized companies, school boards, universities, or government-linked organizations. Day-to-day, this changes how businesses draft severance packages and settlement agreements: you can no longer include a standard confidentiality clause covering misconduct unless the employee specifically and voluntarily requests it, has had independent legal advice, and the agreement meets several other conditions. Public bodies like Crown corporations and publicly funded colleges face even stricter rules and cannot initiate or litigate NDAs at all. Violations carry fines of $5,000 to $50,000 per offence, so legal and HR teams will need to review and update their standard settlement templates before the law takes effect.