Reference no: EM131657310

Question: On April 25, 2005, Poux hired Hernandez to sell organic produce for her sole proprietorship, Access Organics Sales. In July 2005, Hernandez was promoted to sales manager. On August 29, 2005, four months after his employment began, Hernandez signed a noncompete agreement and a nondisclosure agreement. The noncompete agreement provided in relevant part: "For good consideration and as an inducement for Access Organics (the Company) to employ Andy Hernandez, the undersigned Employee hereby agrees not to directly or indirectly compete with the business of the Company and it successors and assigns during the period of employment and for a period of two years following termination of employment." Shortly thereafter, Access Organics began experiencing financial difficulties and laid off Hernandez and several other employees. Hernandez voluntarily returned to the company on a part-time basis but resigned a short time later. Hernandez then entered into business with another former Access Organics employee. Full Circle Sales, Hernandez's new company, was located in the Kalispell area and dealt in both organic and conventional produce. Access Organics brought suit to enforce the noncompete and nondisclosure agreements signed by Hernandez. Was the noncompete and nondisclosure agreement a valid contract that was supported by consideration?