Elana is a CPA with an excellent reputation and client base. She sells her tax preparation business to Cory, and the sales contract includes a noncompete clause restricting Elana from opening a similar business for two years within a 10-mile radius of her former office. If she opens a tax preparation office five miles away after one year, a court would probably:

Elana is a CPA with an excellent reputation and client base. She sells her tax preparation business to Cory, and the sales contract includes a noncompete clause restricting Elana from opening a similar business for two years within a 10-mile radius of her former office. If she opens a tax preparation office five miles away after one year, a court would probably:




a. order confiscation of all of her new client files and turn them over to Cory.
b. refuse to enforce the noncompete clause, as it is unreasonable regarding time and geographic area.
c. refuse to become involved, as the noncompete clause was illegal.
d. grant an injunction barring her from operating the new office.







Answer: D


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