Question

Ruby was the owner and a chef of a well-known restaurant in Manhattan called Rubys place on February 1 row Ruby sold her restaurant to Gina for $200,000 the contract stated that Gina would continue to operate the restaurant under the name Louis place the contract for the stated that Ruby would not open a competing restaurant one within the borough of Manhattan for four years to anywhere within the state of New York for two years on July 1 Gina discovered that will be held open to new restaurants one of the restaurants is located three blocks away from Rubys place the second restaurant is located 300 miles away from Manhattan in Lake Manor New York a what rates if any does Jeana have against Ruby be separately discuss Gina‘s rights regarding the Manhattan restaurant and the lake Mina restaurant

Answer 1

As there was no competition contract between Ruby and Gina which states that Ruby cannot operate any restaurant near to the sold restaurant for 4 years. But in actual, Ruby opened two restaurants one restaurants is located three blocks away from Rubys place the second restaurant is located 300 miles away from Manhattan in Lake Manor New York.

So in the case of the restaurant open in 300 miles away from Manhattan in Lake Manor New York doe snot violates the noncompetition clause mentioned in the contract as the restaurant was not located in the same state. But the other restaurant that was open just three blocks away breached the clause of noncompetition and thus Gina can approach the court either for the damage or to seek the closure of the restaurant located  three blocks away from Rubys place