For over five years , Rick was the CEO of JB guitars inc. , a corporation operating a chain of retail guitar stores . He had gained tremendous practical experience and decided to start his own business selling guitars . He had entered into an agreement with JB guitars when he first started working there under which he promised that he would not carry on a competing business for 2 years after he ended his employment with JB guitars . To avoib breaching that contract , Rick incorporated a corporation named generation x guitars inc. to carry on the business . He is the sole share holder , director and president. Rick's old employer claims that the new corporation is just a way of getting around the non competition agreement and had sued for a court order prohibiting generation x guitars from carrying a business competing with JB guitars . Will JB guitars be successful?

I want help in making full legal analysis of this question keeping in mind the rules of corporation as well as law of piercing the corporate veil .