Carl was employed as a landscape designer with Splendid Gardens Landscape and Design firm in Winston-Salem, North Carolina. He signed a covenant not to compete agreement when he was hired 2 years ago. The agreement states that Carl cannot work in Splendid's territory for 1 year after his employment ends. The agreement stipulates that Splendid's territory constitutes a 30 mile radius of Winston-Salem, N.C. Carl has been working part-time for himself. When his employer finds out, he is terminated. Carl wants to take a new position with Harold's Garden in Greensboro, North Carolina which is 20 miles away.

Question

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The covenant not to compete agreement that Carl signed is legally binding as long as the geographical and time restrictions are deemed reasonable by the courts. In this case, the agreement states that Carl cannot work within a 30 mile radius of Winston-Salem for 1 year after his employment ends. Since Harold's Garden is within the restricted territory, Carl cannot take the job without violating the agreement. The fact that he is not planning on contacting his former clients is irrelevant to the enforceability of the agreement. Choice A is incorrect because ignorance of the consequences of the agreement does not invalidate it. Choice B is incorrect because the ban on working in Splendid's territory applies to all work, not just work with former clients. Choice D is incorrect because choice C is the correct answer.

Carl Was Employed as a Landscape Designer with Splendid Gardens