In Most States,a Covenant Not to Compete That Has Been

question 10

Multiple Choice

In most states,a covenant not to compete that has been agreed to by an employer and an employee is:

• A) Illegal, but the overall employment contract in which it appears remains enforceable as if the contract did not contain the covenant not to compete
• B) Illegal, and it invalidates the entire employment contract in which it appears
• C) Legally enforceable, if it does not unduly prevent the employee from obtaining similar employment in the employee's chosen trade or occupation
• D) Legally enforceable under all circumstances

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Definitions:

Rental Price

The amount of money charged for the temporary use of a good, service, or property.

Services from Land

The benefits and outputs produced by natural resources without altering their original physical state, such as agricultural production, mining, and scenic views.

Ownership

Refers to the rights that confirm the legal possession and control over property, assets, or resources.

Marginal Product of Labor

The additional output a firm gains from employing one more unit of labor, holding all other inputs constant.