Legal Question in Business Law in California

Re: does a non-competition form stand up in court?

Without reading the non-compete, it is impossible to say whether you can start a similar business 30 miles away. As far as enforceability, about the only time a California court will enforce a non-compete is in conjunction with the sale of a business. Whether your particular form would hold up in court would require a review of the document, but in general, since the form is signed in conjunction with the sale of a business, a court would likely uphold it.

Does a non-competition form stand up in court?

Howdy:

The key factors in whether a non-compete will be upheld is the length of time that you agree not to compete, and the geographical extent to which you agree to not compete.

If the non-compete is unlimited in time and space, it will not stand. If it's a non-compete for a year or so, and within a reasonable geographic area, then it will be upheld.

30 miles is probably within a reasonable geographic area.

As was said earlier, the time and space details need to be known before a better opinion can be rendered.

rkr

Re: does a non-competition form stand up in court?

As a general rule non-compete clauses are unenforceable and when they are enforceable, they are enforced only in the most limited fashion. I would need to see your clause and contract to be more precise.

Re: does a non-competition form stand up in court?

You really have to be kidding me. You expect a sophisticated answer to a very specialized clause in a business transaction over the net. If this business is so important to you why don't you hire a real attorney to review the specific clause involved to give you specific advice. When they say this after 30 years of practicing law and representing clients on both sides of by sell transactions and hundreds of businesses, of course it's legal. If you're waiting for free legal advice regarding your livelihood in the future that I guess that sufficient.I have been practicing law in this legal area for over 30 years and understand your problem well. I practice in the S.F. Bay Area and if you wish to contact me call at 925-945-6000.

Re: does a non-competition form stand up in court?

Non compete clauses will not be enforced unless narrowly drawn. Since you are in negotiations portion, have them exclude the area you want to work.

Re: does a non-competition form stand up in court?

California courts do not like non-compete clauses, however, if reasonable and for reasonable time, it may likely be upheld. However, to answer your questions, need to see the complete agreement. Most agreements place time limitations in it, mileage limitations, etc., etc. Call if you wish to discuss.