California: It All Comes Down to Goodwill.
Generally speaking, non-competes are void under California law. Exceptions do exist. In the context of the sale of goodwill in a business, for example, the seller may agree not to compete with the buyer so long as the buyer carries on a like business. This makes sense because it would be unfair for the seller to engage in a competitive business that diminishes the value of the business sold. So how does this work in practice?… Read the rest