Where a Stipulation in Restraint of Trade Is Part of the Sale

question 48

True/False

Where a stipulation in restraint of trade is part of the sale of a business, it may be valid if the restraint is within reasonable limitations to protect the business's goodwill.

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Definitions:

Utility

The total satisfaction or benefit derived from consuming a good or service.

Convenience

The aspect of a product or service that relates to the ease of use and the degree to which it saves time and effort for the consumer.

Environmental Scanning

The process of collecting information about external influences and trends that can affect an organization's strategic planning.

Competitive

Characterized by rivalry. It can refer to companies or individuals striving to attain an advantage or superiority in a market or activity.