Validity of Non-Compete Clause in Business Sale upheld

A contract for the sale of a business, which included a clause prohibiting the seller from engaging in the same trade within a specified geographic area for a defined period, was subject to judicial review concerning its validity as a non-compete agreement. The appellate court upheld the clause, finding that the restriction was reasonable and necessary to protect the legitimate interests associated with the transfer of goodwill. The highest court confirmed this decision, reasoning that a contractual limitation on the seller's future professional activity is valid provided it is narrowly tailored regarding its scope, duration, and territory to prevent unfair competition while not unduly infringing upon the seller's freedom to work.