The Non-Disclosure Agreement For Auditors is essential for protecting confidential information during audit engagements in Indonesia. This document is typically executed before the commencement of audit services, whether for statutory audits, special-purpose audits, or other audit-related services. It addresses the unique aspects of auditor-client relationships under Indonesian law, including requirements from Law No. 5 of 2011 on Public Accountants and professional standards set by the Indonesian Institute of Certified Public Accountants (IAPI). The agreement covers various types of confidential information that auditors may access, including financial records, business strategies, operational data, and personal information, while ensuring compliance with both local and international audit standards.
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1. Parties: Identifies the parties to the agreement - typically the audit firm and the client company
2. Background: Explains the context of the agreement, including the nature of the audit engagement
3. Definitions: Defines key terms including 'Confidential Information', 'Audit Services', 'Authorized Personnel', and other relevant terms
4. Scope of Confidential Information: Details what constitutes confidential information in the context of the audit engagement
5. Permitted Use: Specifies how the auditor may use the confidential information in connection with the audit services
6. Confidentiality Obligations: Details the specific obligations of the auditor regarding the protection and non-disclosure of confidential information
7. Security Measures: Outlines the required security measures for protecting confidential information
8. Staff and Subcontractor Obligations: Addresses the obligations regarding employees and subcontractors who may access the confidential information
9. Return or Destruction of Information: Specifies procedures for returning or destroying confidential information upon request or termination
10. Duration and Survival: Establishes the term of the agreement and which provisions survive termination
11. Breach and Remedies: Outlines the consequences of breach and available remedies
12. Governing Law and Jurisdiction: Specifies Indonesian law as governing law and defines jurisdiction for disputes
1. International Data Transfer: Required when audit work involves transfer of data outside Indonesia
2. Digital Data Protection: Additional provisions for electronic data handling and cybersecurity measures
3. Group Company Provisions: Required when the audit involves access to information from group companies or subsidiaries
4. Regulatory Disclosure: Special provisions for circumstances requiring disclosure to regulatory authorities
5. Conflict Resolution: Alternative dispute resolution procedures beyond standard legal remedies
6. Insurance Requirements: Specific insurance obligations for protecting confidential information
7. Third-Party Rights: Provisions regarding rights of third parties whose confidential information may be involved
1. Schedule 1 - Authorized Personnel: List of authorized audit team members who may access confidential information
2. Schedule 2 - Security Protocols: Detailed security measures and protocols for handling confidential information
3. Schedule 3 - Data Categories: Categories and types of confidential information covered by the agreement
4. Appendix A - Confirmation of Compliance: Form for audit team members to acknowledge NDA obligations
5. Appendix B - Information Return/Destruction Certificate: Template for certifying return or destruction of confidential information
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