Sue has been a children's day care provider for several years in the small town of Piedmont. She has decided to give it all up and move to the big city for excitement and adventure. She sells her business to Jake, agreeing not to open a competing business within five miles of Piedmont for a period of nine months. After five months of the big city life, Sue is broke and moves back to Piedmont. She opens a small day care business. Jake sues on the noncompete clause. What is the most likely result?

Sue has been a children's day care provider for several years in the small town of Piedmont. She has decided to give it all up and move to the big city for excitement and adventure. She sells her business to Jake, agreeing not to open a competing business within five miles of Piedmont for a period of nine months. After five months of the big city life, Sue is broke and moves back to Piedmont. She opens a small day care business. Jake sues on the noncompete clause. What is the most likely result?





a. Sue wins. The agreement is denying her the right to do the only thing she knows how to do.
b. Sue wins. The agreement is not reasonable as to time.
c. Sue wins. The agreement is not enforceable because it is not ancillary to a legitimate bargain.
d. Jake wins. The agreement is enforceable.







Answer: D


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