The seller of a dry cleaning business has agreed not to open another dry cleaning business for two years within a one-mile radius of the sold business.Such an agreement:
A)is void as against public policy.
B)is void as unconscionable.
C)is void as usurious.
D)is valid and enforceable.

Question

Quizplus · Accepted Answer

The agreement is a valid and enforceable restrictive covenant, also known as a non-compete clause or agreement, as long as it meets certain conditions such as reasonable time and geographic scope. It is not void as against public policy or unconscionable, and usury is not relevant here as it relates to excessive interest rates on loans.

The Seller of a Dry Cleaning Business Has Agreed Not