4. Manny was employed by OLDCO. As a condition of employment, Manny entered into

Question

4. Manny was employed by OLDCO. As a condition of employment, Manny entered into a legally enforceable contract in which Manny promised not to compete with OLDCO after his employment ends. Immediately after his employment with OLDCO ended, NEWCO, being aware of the contract between Manny and OLDCO, convinced Manny to work for NEWCO and encouraged Manny to compete against OLDCO in violation of his contract with OLDCO OLDCO has grounds to sue: a. Manny for breach of contract (i.e., "breaking his promise" not to compete) b. Manny and NEWCO for breach of contract. c. Manny for breach of contract and NEWCO for interference with contract. d. NEWCO for trespas. Homer Simpson tells his son, Bart, "I'll give you $400 if you join the Boy 5. Scouts." Which of the following statements is most accurate? If Bart joins the Boy Scouts, an enforceable unilateral contract is created. No contract can result because inducing someone to join a social organization violates public policy If Bart joins the Boy Scouts, an enforceable bilateral contract is created. None of the above statements is accurate. a. b. c. d. Under a contract with Bucolic Farms, Agro Excavation, Inc. begins digging a 6. water well. In mid-project, Agro asks for $15,000 over the contract price, claiming an increase in the "cost of doing business." Bucolic promises to pay the additional S15,000, but later refuses to pay. Their agreement for the additional $15,000 is: a. unenforceable because Agro's performance was a pre-existing duty b. c. enforceable. d. Under a contract with Bucolic Farms, Agro Excavation, Inc. begins digging a unenforceable because Bucolic's promise was illusory. unenforceable because Agro's performance is unforeseeably difficult. 7. water well. In mid-project, Agro asks for $15,000 over the contract price, claiming that, unbeknownst to both parties when the contract was formed, the property has unusually thick layers of bedrock which makes excavation substantially more difficult. Bucolic refuses and Agro fails to complete the excavation. Which of the following statements is most accurate? a. Agro must complete the excavation because it has a pre-existing duty. b. Agro's promise to complete the excavation for additional money is illusory Agro's obligation is relieved under the doctrine of impracticability. None of the above statements is accurate. c. d.

Explanation / Answer

4. Manny was employed by OLDCO. He was working under the non- competing clause of the company that after end of his job he will not compete with OLDCO company. But after the end of the job he joined another company which is the rival of OLDCO. The company name is NEWCO. The NEWCO company knows that the employee is under non-competing clause but still they hire the employee. So here the company has also violated the business laws.

Here, if the OLDCO Company only sued the employee for breaching a contract then it is not fair. This is because the employee breaches the contract but the new employer also involved in the violation of contract. Hence, suing only employee who is bound under the contract is not a complete sue. So, option “a” is false.

The second option “b”is false because the contact is in between manny and OLDCO company not with NEWCO. So, only employee breaches the contract.

The last option “d” is false as both the parties are involved in the breaching the contract.

Hence, the option “c” is true which states that the Manny breaches the contract and NEWCO involved in interference with the contract with knowing it. The company sued both the employee as well as NEWCO company.

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