# Data Room

*Corporate Finance & M&A — Finicade finance glossary*

A data room is the controlled repository where a seller discloses contracts, accounts, litigation and staff data to bidders under an NDA. What goes in and when is a negotiation in itself: sellers stage disclosure to protect commercially sensitive information from competitors posing as buyers. Anything disclosed in it is generally treated as known, which limits the buyer's later claims under warranties.

**Also known as:** virtual data room, VDR, diligence room

**Related terms:** [Due Diligence](https://finicade.com/glossary/due-diligence), [Mergers and Acquisitions (M&A)](https://finicade.com/glossary/mergers-and-acquisitions), [Representations and Warranties](https://finicade.com/glossary/representations-and-warranties), [Letter of Intent](https://finicade.com/glossary/letter-of-intent), [Material Adverse Change](https://finicade.com/glossary/material-adverse-change)

Source: https://finicade.com/glossary/data-room