• Giselle Ayala

Is it reasonable to agree to a non-compete clause in an assets purchase agreement?


By Giselle Ayala Mateus


Greetings, if you want to enter into an asset purchase agreement, it is important to consider that each jurisdiction has different interpretations of what a reasonable non-compete agreement is. Besides, considering the time and geographical scope of the agreement, courts are also concerned about the fact that a person has the right to work and to earn a living. For this reason, some agreements establish strict conditions to execute the restrictive covenant so that the seller of a business can earn a living without affecting the goodwill sold to the buyer. It is also important to consider the characteristics of the business. If the business is one that requires a principal location and operates locally such a salon or an small store, the scope of the agreement should be limited. However, if the business is one of the kind that requires visiting clients in different locations, the time and geographic scope of the agreement can be broader.


The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. Readers of this website should contact their attorney to obtain advice with respect to any particular legal matter. No reader, user, or browser of this site should act or refrain from acting on the basis of information on this site without first seeking legal advice from counsel in the relevant jurisdiction. Only your individual attorney can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation.

18f907.jpg

Subscribe to our newsletter

  • Instagram - Círculo Blanco
  • YouTube - círculo blanco
  • Facebook - círculo blanco
  • LinkedIn - círculo blanco

Law Office Of

Giselle Ayala Mateus

U.S. - COLOMBIA

Disclaimer: Attorney Advertising - The information on this website is not, nor is it intended to be, legal advice.  Any legal information that may be on this website is intended to be accurate at the time it was published, but may now be obsolete, and may not apply to your individual situation.  You should obtain individual legal advice about the law for your individual circumstances from an attorney licensed in your jurisdiction.

 

This website is not intended to be an offer to represent you in any legal matter.  You are urged not to send any confidential information by electronic means, whether by e-mail or otherwise, without the express consent of Giselle Ayala Mateus.  Giselle Ayala Mateus makes absolutely no representations or warranties regarding any other website which is accessible through this website.