Keiser Sciences, LLC (KS)

Keiser Sciences, LLC (KS)
Keiser Sciences, LLC (KS), makes and sells agricultural seed products. In 2000, John Stewart, a KS sales manager, signed a covenant not to compete. He agreed that for two years from the date of his termination, he would not ?engage in or contribute my knowledge to any work or activity involving an area of technology or business that is then competitive with a technology or business with respect to which I had access to Confidential Information during the five years immediately prior to such termination.? Working with KS business, operations, and research and development personnel, and being a member of high-level teams, Stewart had access to confidential KS information, including agreements with KS?s business partners, marketing plans, litigation details, product secrets, new product development, future plans, and pricing strategies.
In 2006, Stewart resigned to work for Pioneer International Inc., a KS competitor. KS filed a suit in a New Jersey state court again Stewart, asking that he be enjoined from accepting any ?position that would call on him to use confidential KS information.?
1. Generally, what interests are served by enforcing covenants not to compete? What interests are served by refusing to enforce them?
2. What argument could be made in support of reforming (and then enforcing) illegal covenants not to compete? What argument could be made against this practice?
3. In whose favor will the court rule in this case? Why or why not?
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