Question

jerica is a cpa with an excellent reputation and client base. jerica sells her tax - preparation business to kerem, and the sales contract includes a non - compete clause restricting jerica from opening a similar business for one year within a 10 - mile radius of her former office. if jerica opens a tax - preparation office five miles away after one year, a court would probably
grant an injunction barring her from operating the new office.
order confiscation of all of her new client files and turn them over to kerem.
refuse to become involved, as the non - compete clause was illegal.
refuse to enforce the non - compete clause, as it is unreasonable regarding time and geographic area.

Explanation:

The non - compete clause restricted Jerica for one year within a 10 - mile radius. Since she opened the office after one year, the time restriction has passed. Courts generally look at the reasonableness of non - compete clauses in terms of time and area. Here, the time has elapsed, so the court is likely to refuse to enforce the clause.

Answer:

refuse to enforce the non - compete clause, as it is unreasonable regarding time and geographic area.