Question

volume_upclosed_captiondescriptionfullscreen Suppose that Jack and Hal and Sophia enter into an agreement to sell the restaurant. The contract includes the non-competition agreement. A few months later, Jack decides that he will sell the frozen food in violation of non-competition agreement unless if Hal and Sophia agree to pay him an extra $100,000. Hal and Sophia agree since they do not want to fight. Six months later, however the still have not paid and Jack sues. What is the result

Answer 1

Answer:

Hal and Sophia would win, since jack already had a prior existing legal duty to not compete with them

Explanation:

Based on the information provided regarding the scenario at hand it can be said that if Jack sues then Hal and Sophia would win, since jack already had a prior existing legal duty to not compete with them. A non-competition agreement prevents the individual from entering and selling a similar product in the same market as their employer during or after working for them. This is exactly what Jack signed, meaning that he cannot legally sell frozen foods at all, and Hal and Sophia are not obligated to pay him an extra $100,000.