Brown Stove Works, Inc. v. Kimsey

Eberhardt, Judge.

The sole question with which we find it necessary to deal is whether observance of a non-competitive employment provision in a non-contributory deferred profit-sharing plan may be a valid condition precedent to participation in the plan, even though the provision, by reason of the broadness of terms could not be invoked to enjoin or prohibit the employee’s competitivo activity.

In order to initiate the plan the defendant company and certain trustees entered into an agreement which provided, inter alia: “Article XIV—Competitive Employment—Notwithstanding *454any of the provisions…