Gafnea v. Pasquale Food Co., Inc.

This case involves a covenant not to compete. The trial court granted an injunction against the appellants, ordering them to discontinue, for the remaining period of the covenant, operating the restaurant they had opened in violation of the covenant. Appellants argue that the covenant is void as a restraint of trade, or if not, that their restaurant operation was not violating the covenant, at least at the time the trial court entered the injunction.

On January 6, 1972, Robert W. Gafnea and Gwen Gafnea signed a franchise agreement with Pasquale Food Company, Inc., whereby the Gafneas were to…