The bill aims to establish a clear definition for "nondisclosure agreement" within the context of Michigan law. It introduces the term as an agreement or contract that includes a clause prohibiting one party from disclosing, discussing, describing, or commenting on the agreement or its terms. This definition is intended to provide clarity and consistency in the application of nondisclosure agreements across various legal contexts.

Additionally, the bill specifies that it may be cited as the "nondisclosure agreement definitions act" and includes a provision stating that it will not take effect unless certain related legislation is enacted. This ensures that the new definitions are aligned with broader legislative efforts concerning nondisclosure agreements.