Asked by Graciela Rodriguez on May 16, 2024
Verified
In which of the following situations is a court most likely to refuse to enforce a noncompetition clause?
A) The clause is not ratified by the employer.
B) The employment contract,which contains the clause,is an implied-in-fact contract.
C) The clause restricts employees from engaging in a "common calling."
D) The employment contract,which contains the clause,is a quasi-contract.
Noncompetition Clause
A contract provision that restricts one party from entering into or starting a similar profession or trade in competition against another party.
Common Calling
A profession or occupation that offers its services to the public generally, often subject to certain regulatory standards.
Implied-in-Fact Contract
An agreement derived from the actions or circumstances of the parties involved, rather than written or spoken words.
- Recognize enforceability issues related to noncompetition clauses within contracts.
Verified Answer
MB
Marcus BagleyMay 18, 2024
Final Answer :
C
Explanation :
Many courts refuse to enforce noncompetition clauses if they restrict employees from engaging in a "common calling." A common calling is an occupation that does not require extensive or highly sophisticated training but instead involves relatively simple,repetitive tasks.
Learning Objectives
- Recognize enforceability issues related to noncompetition clauses within contracts.