When Mike became an employee of Caine Inc four years ago, he signed a contract that included a restrictive covenant.Unfortunately, after four happy and productive years, the employment relationship has come to an end.While he wishes that the situation had played out differently, Mike accepts the fact that he must move on.In fact, although he will miss the friends that he made at Caine Inc, he is excited about his future prospects.The company, however, has pointed to the restrictive covenant and said that Mike's options for earning an income are limited by the restrictive covenant.In that situation, which of the following statements is most likely to be TRUE?
A) The restrictive covenant is much more likely to be enforced if it is a non-competition clause as opposed to a non-solicitation clause.
B) If the parties' relationship came to an end because Mike was terminated without cause, Caine Inc probably cannot enforce the restrictive covenant.
C) In deciding whether the restrictive covenant is enforceable, a judge will be primarily influenced by the salary that Mike was paid while he worked for Caine Inc.
D) If Mike wrongfully resigned from the job, a court will enforce the restrictive covenant regardless of its contents.
E) If the parties' contract did not contain a restrictive covenant, a court would imply one into the employment agreement as a matter of law.
Correct Answer:
Verified
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