Hello, I hope you can answer a question.
Recently, I was interested in buying a particular business located in Colorado. Before negotiation and before they would tell me anything about the business, the sellers required me to sign a "non-compete, non-disclosure" agreement that essentially says I cannot start a business like theirs within 3,000 miles of the current location, and not within 3 years, and if I do, I must pay $15,000 to them in compensation for doing so.
I addition, I have requested a copy of the document I signed more than once, and they have not provided it to me.
I was never an employee of the facility, simply a buyer that was interested in purchasing the business. The seller pressured me to make an offer before due diligence could be reasonably completed, and the business has to be moved from its current location - and they were looking for another space to relocate to during this time.
Is this document enforceable?
1 Answer from Attorneys
The only way to answer the question is to review the document. It certainly can be enforceable, but this is not something to guess about and this can't be answered just by your limited facts. It does not matter about the claimed pressure or that you have to move, as a matter of law. What matters are the exact terms and other facts.
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