When a noncompete agreement is ancillary to the sale of a business,it is enforceable
if reasonable in time,geographic area,and scope of activity.

Question

Quizplus · Accepted Answer

Noncompete agreements that are ancillary to the sale of a business are generally enforceable if they are deemed reasonable in time, geographic area, and scope of activity by a court. This means that they must not impose undue hardship on the party being restricted and must be necessary to protect the goodwill or other legitimate interests of the buyer of the business.

When a Noncompete Agreement Is Ancillary to the Sale of a Business,it