Reed agrees to sell his Sports Equipment store to Taylor. As part of the sale, Reed promises not to open a similar, competing store anywhere. This promise is most likely

Question

Reed agrees to sell his Sports Equipment store to Taylor. As part of the sale, Reed promises not to open a similar, competing store anywhere. This promise is most likely​

Quizplus · Accepted Answer

This promise is most likely invalid because it contains unreasonable terms of area and time. Non-compete agreements are only valid if they are reasonable in scope and duration. In this case, the promise not to open a competing store anywhere is overly broad and could prevent Reed from pursuing a legitimate career or business opportunity in the future. Therefore, it is unlikely that a court would enforce this provision of the sale agreement.

Reed Agrees to Sell His Sports Equipment Store to Taylor