A covenant in the sale of a dry cleaning business that prohibits the seller from operating a dry cleaning business anywhere in that state is too restrictive to be enforced.

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Quizplus · Accepted Answer

Such a covenant is likely considered too broad in geographic scope and duration, making it unenforceable because it unduly restricts the seller's ability to earn a livelihood. Courts typically require that non-compete covenants be reasonable in terms of time, geographic area, and scope of activity to be enforceable.

A Covenant in the Sale of a Dry Cleaning Business