A Valentine Noncompetition Issue.

In a divorce proceeding, the court awarded the community business to the husband and issued an order restraining the wife from working in the same business, anywhere, for five years. The appellate court discussed that an agreement restraining someone from engaging in a lawful occupation is void pursuant to statute [Business and Professions Code section 16600], and considered whether or not a court order would also be prohibited under the statute. On February 14, the appellate court reversed the order of the trial court, noting that 16600 does not prohibit the issuance of a noncompetition order, but stating the state’s public policy favors an individual’s right to practice his or her chosen trade or profession and that any restrictions must be based upon evidence showing the restriction is reasonably necessary to preserve the value of an asset.  The court concluded such evidence was not in the instant record on appeal.  (Greaux v. Mermin (Cal. App. First Dist., Div. 4; February 14, 2014) 223 Cal.App.4th 1242, [167 Cal.Rptr.3d 881].)