Mark operated an automobile repair and tow shop in Boston Massachusetts. After accepting a job in another
Question:
Mark operated an automobile repair and tow shop in Boston Massachusetts. After accepting a job in another city, Mark closed the shop and sold this tow trucks to Robert and Bess Daly, who opened a business called Boston Towing Company. The contract for the tow trucks included the following provision:
Covenant Not to Compete. Seller agrees not to engage in the business of towing or to commit any other acts detrimental to the business operated by the Buyers.
Mark soon became dissatisfied with his job and returned to Boston and opened a business called Mark Tow Services. The Daly?s sue him for violation of the covenant not to compete. Should the court enforce the agreement? If the Daly?s had asked for your recommendation an improving the covenant not to compete PRIOR to signing, what would you advise?
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts