Cengage Advantage Books: Business Law 13th Edition by Roger LeRoy Miller

Exercise 13

Past Consideration. Access Organics, Inc., hired Andy Hernandez to sell organic produce. Later, Hernandez signed an agreement not to compete with Access for two years following the termination of his employment. He did not receive a pay increase or any other new benefits in return for signing the agreement. When Access encountered financial trouble, Hernandez left and began to compete with his former employer. Access filed a lawsuit against Hernandez. Is the noncompete agreement enforceable? Discuss. [Access Organics, Inc. v. Hernandez, 341 Mont. 73, 175 P.3d 899 (2008)]