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    Contract Issues with Employment

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    Mary is hired by Acme business forms. Acme sells forms only in one state and Mary's territory is the Northern half of the state. Mary signs an employment contract that has the following clause.

    In the event Mary resigns her position with Acme, she shall not engage in selling business forms for any other company located anywhere in the United states including Hawaii and Alaska for a period of ten years.

    Mary resigns and immediately accepts a position with the Biggerandbetter Form company. Biggerandbetter sells forms in all 50 states. However, Mary's territory is only one state which is located approximately 1500 miles from Acme's state. What remedies, if any, does Acme have?

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    Solution Preview

    Probably none because even though non compete clauses are generally upheld, they usually have to be limited in geographic scope. This is governed by ...

    Solution Summary

    The solution discusses contract issues with employment.