Edward, an engineer, is working on a new design for some highly technical equipment which Martus, Inc. hopes to market within the next five years. The employment agreement between Edward and Martus states that Edward will not go to work for another company in the same business for a period of two years after termination of his employment with Martus, Inc. This agreement is void and unenforceable because, although Martus is a very specialized company, it would make it difficult for Edward to find other employment.

Question

Quizplus · Accepted Answer

The enforceability of a non-compete agreement depends on its reasonableness in terms of duration, geographic scope, and the interests it seeks to protect. If the agreement is reasonable and protects legitimate business interests without being overly restrictive, it may be enforceable.

Edward, an Engineer, Is Working on a New Design for Some