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46% a 10:59 PM Systems and Software, Inc. (SAS), located in Colchester, Vermont,

ID: 3864028 • Letter: 4

Question

46% a 10:59 PM Systems and Software, Inc. (SAS), located in Colchester, Vermont, designs, develops, sells, and services software that allows utility providers to organize their data, including customer information, billing, work management, asset management, and finance and accounting. In August 2002, SAS hired Randy Barnes as an at-will employee to become a regional vice president of sales. At the time he commenced work for SAS, Barnes signed a noncompetition agreement that among other things, prohibited him-during his employment and for six months thereafter from becoming associated with any business that competes with SAS. In April 2004, Barnes voluntarily left his position with SAS and started a partnership with his wife called Spirit Technologies Consulting Group. Spirit Technologies' only customer was Utility Solutions Inc., which, like SAS, services municipalities and utilities nationwide with respect to customer-information-systems software. Shortly after Barnes left SAS, he represented Utility Solutions at a trade fair in a booth near SAS's booth and identified himself as Utility Solution's sales director SAS filed suit requesting injunctive relief and enforcement of the noncompetition agreement. Barnes says that the effect of enforcement of the clause is to prevent him

Explanation / Answer

According to me, SAS is correct as Barnes soon after resigning from current position started his own company with his wife in the same sector as in SAS.
This is so because Non Compitition Agreement states that the employee cannot work in the mentioned sector for the given period of time.

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