Federal Antitrust Laws: Primary federal regulations including Sherman Antitrust Act, Clayton Act, and Federal Trade Commission Act that govern competition and monopoly prevention in business transactions
State-Specific Non-Compete Laws: Variable state regulations governing non-compete agreements, including state-specific restrictions on duration, scope, and enforceability (e.g., California's general prohibition on non-competes)
Common Law Principles: Fundamental legal principles including reasonable scope requirements, protection of legitimate business interests, consideration requirements, and public policy concerns
Rule of Reasonableness: Legal doctrine requiring non-compete agreements to be reasonable in duration, geographic scope, and scope of prohibited activities to be enforceable
Blue Pencil Doctrine: Legal principle determining whether courts can modify or strike overly broad restrictions while maintaining the rest of the agreement
Duration Requirements: Typical reasonable duration limits for non-compete agreements in business sales context (generally 2-5 years)
Geographic Scope Restrictions: Requirements for reasonable geographic limitations in non-compete agreements based on the business's actual market presence
Legitimate Business Interest Test: Legal standard requiring demonstration that the non-compete agreement protects genuine business interests rather than merely restricting competition
Sales-Related Laws: Applicable business sale regulations including Uniform Commercial Code, state business sales regulations, and securities laws for stock sales
Consideration Requirements: Legal requirement for adequate consideration (value exchanged) to make the non-compete agreement binding in the context of business sales
