Legal Question in Business Law in Ohio

Non compition agreement

I sign a non compition agreement for a large company

i open my own bussiness i wanted to know if the large

co could close me down i recieved a letter from their

attourney asking me to stop advertising my add and not

to countinue my add.is the non competion agreement

legal without having it notor rise?if so could my wife open the bussiness in her name and run it without

any futher problems?i have invested all of our savings

into this bussiness it is personel wy they dont want me to run my bussiness.please help if you can.

Thank You


Asked on 6/23/00, 11:33 pm

1 Answer from Attorneys
Gregg Manes Gregg A. Manes, Esq.

Re: Non compition agreement

Covenants not to compete are valid in the State of Ohio, however, one must look to the reasonableness of the limitations. In other words, the covenant can not prohibit you from doing business anywhere in the entire world for the rest of your life. The limitations should be reasonable based on the type of business you are in. I just did a covenant not to compete for a travel company and the limitations were two hundred miles for two years. This was reasonable based on industry standards. Since I do not know what type of business you are in, reasonableness is very difficult to determine.

The second question deaeelt with your wife haveing the business in her name. Again this depends on what the agreement states as you may be precluded from contacting any of the Corporations former clients.

Good Luck.

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Answered on 9/05/00, 12:29 pm


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