Question
Sam began working for ABC Company in 1999.Sam worked out of the company's office in the Acme state capitol,Springfield.Sam performed valuation services for companies in
Sam began working for ABC Company in 1999.Sam worked out of the company's office in the Acme state capitol,Springfield.Sam performed valuation services for companies in the Springfield metropolitan area. ABC Company had developed a proprietary software system which Sam used to service his customers. In 2002,ABC Company required that each of its employees sign a covenant not to compete,including Sam.The covenant precluded Sam from providing valuation services for companies in the State of Acmefor a period of 3 years after any termination of Sam's employment. Sam quit ABC Company in 2004 to relocate to another city in Acme, Mace,where his wife, a college professor, was transferred. Sam began working for 123 Company, a local company providing valuation services for companies in the the Mace metropolitan area. ABC Company filed a lawsuit in Court seeking an injunction precluding Sam from working for 123 Company and seeking money damages.
Should the Court enforce the non-compete covenant (agreement)? Why or why not? Discuss the issues raised by the facts.
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