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Question: The Slinky Co. is a manufacturer of revealing bedroom apparel, especially negligees and pajamas, which it sells through franchised retail outlets that operate under its trade name. The franchisees are prohibited from handling any other line of clothing. One franchisee has challenged this particular provision in court, arguing that it is an invalid noncompetition clause. Will the franchisee be successful? Explain.

Management Theories, Management Studies

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