A Contract Not to Compete Is Valid in Which of the Following

question 10

Multiple Choice

A contract not to compete is valid in which of the following instances?

• A)Two large businesses dividing sales territory for themselves to avoid competition
• B)The buyer of a business prohibiting the seller from engaging in the same business in a certain town
• C)A business agreeing not to operate in a state to eliminate competition in that state
• D)Three businesses agreeing to take turns providing services to a community on a monthly basis in order to avoid competition.

---

Definitions:

Inherited Traits

Characteristics or attributes that are passed from parents to their offspring through genes.

Personality

The blend of traits or attributes that create a person's unique personality.

Power Distance

A cultural dimension that describes how members of a society accept and expect the distribution of power to be inequitable.

Cultural Personality

The collective pattern of thinking, feeling, and acting that characterizes a group and influences members' behavior.