Validity of Non-Compete Clause After Mutual Termination Agreement

The court addressed whether a non-compete clause remained valid after an employment relationship was terminated by a mutual agreement, even if the employer initiated the separation. The court reasoned that when an employment contract is ended by a mutually beneficial agreement involving concessions from both sides—such as an extended departure date, payment for outplacement services, and permission to take specific mandates for the employee, offset by the employee agreeing to the continuation of the non-compete clause—the clause does not lapse under the rule that typically invalidates it upon unilateral termination by the employer without fault of the employee, as the agreement was not a mere circumvention of the law but a genuine settlement.