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Barbara, a skilled welder, was hired at Mainco Enterprises for a welding position. Steve, a recent graduate with few job skills, was also hired and was expected to develop general skills on the job. Both were asked to sign noncompete clauses limiting future employment if they left Mainco. A court would be very likely to enforce the noncompete clauses unless the time or geographic restriction is unreasonable?

a)True
b)False

1 Answer

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Final answer:

A court is likely to enforce noncompete clauses in employment contracts if the clauses have reasonable time and geographic restrictions to balance business interests with employee's right to work.

Step-by-step explanation:

A court would likely enforce noncompete clauses if they are found to be reasonable given the circumstances of the employment, including the time and geographic restrictions. These clauses are designed to protect businesses from future competition by preventing employees from using skills and knowledge they acquired at the company to compete against them after they leave. However, courts also weigh the interests of the employee, and if the restrictions are found to be unreasonably burdensome—hindering the employee's ability to find work and make a living—they may not enforce the noncompete. Thus, the answer to the question is True, as long as the time and geographic scope of the noncompete clause is reasonable.

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