California Court of Appeal Rules That Partial Sale of Business Can Bind Seller-Owner to a Noncompetition Agreement
JD Supra: Mergers
AUGUST 28, 2024
In Samuelian v. Life Generations Healthcare, LLC, — Cal. App. 5th —, 2024 WL 3878448 (Cal. App. Aug. 20, 2024), the California Court of Appeal answered two long outstanding questions of California law concerning the enforceability of noncompetition agreements in the context of the sale of a business: 1. Yes, a partial sale of an ownership interest in a business may support a noncompete under the rule of reason (even though the sale of business exception under Business & Professions Code Sect
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