Koko signs a covenant not to compete as part of a sale of her ongoing medical equipment business to Laurel Valley Medico,Inc. ,in exchange for a bonus payment.The covenant is most likely enforceable by
A)both parties.
B)Koko,but not Laurel Valley.
C)Laurel Valley,but not Koko.
D)no one.

Question

Quizplus · Accepted Answer

The covenant not to compete is most likely enforceable by both parties because it is part of a sale of an ongoing business and is supported by consideration in the form of a bonus payment.

Koko Signs a Covenant Not to Compete as Part of a Sale