Falcon Ridge, Inc. v. Michael Leon

CourtCourt of Appeals of Georgia
DecidedAugust 27, 2025
DocketA25A1333
StatusPublished

This text of Falcon Ridge, Inc. v. Michael Leon (Falcon Ridge, Inc. v. Michael Leon) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Falcon Ridge, Inc. v. Michael Leon, (Ga. Ct. App. 2025).

Opinion

THIRD DIVISION DOYLE, P. J., MARKLE and PADGETT, JJ.

NOTICE: Motions for reconsideration must be physically received in our clerk’s office within ten days of the date of decision to be deemed timely filed. https://www.gaappeals.us/rules

August 27, 2025

In the Court of Appeals of Georgia A25A1333. FALCON RIDGE, INC. v. LEON.

MARKLE, Judge.

In this action for breach of an employment agreement, Falcon Ridge, Inc.

(“FRI”) appeals from the trial court’s order granting summary judgment to Michael

Leon. On appeal, FRI contends that the trial court erred in determining that the

restrictive covenants in the employment agreement between FRI and Leon were

unenforceable as a matter of law, and refusing to blue pencil the covenants so as to

render them enforceable. For the reasons that follow, we reverse the trial court’s

order, and remand the case to the trial court for further proceedings consistent with

this opinion.

Summary judgment is proper when there is no genuine issue of material fact and the movant is entitled to judgment as a matter of law. A de novo standard of review applies to an appeal from a grant of summary judgment, and we view the evidence, and all reasonable conclusions and inferences drawn from it, in the light most favorable to the nonmovant.

(Citation omitted.) Crouch v. Bent Tree Community, 310 Ga. App. 319 (713 SE2d 402)

(2011). And “[t]he enforceability of a restrictive covenant is a question of law that we

. . . review de novo.” American Anesthesiology of Ga. v. Northside Hosp., 362 Ga. App.

350, 354 (867 SE2d 531) (2021).

So viewed, the undisputed facts in the record show that FRI is a horse boarding

stable in Woodstock, Georgia that offers riding instruction and training. In June 2017,

FRI hired Leon as an independent contractor to provide equestrian riding and training

services, and they signed an employment agreement that contained non-solicitation

and non-compete clauses. Specifically, paragraph l of the agreement (the non-

solicitation clause) provides:

During the period commencing on the date hereof and ending 2 years after the termination of the General Contractor’s employment by Employer for any reason, the General Contractor shall not directly or indirectly induce or attempt to induce any of the employees or anyone employed in any capacity by Employer to leave the employ of Employer, or solicit the business of any client or customer of Employer or any consultant to Employer.

Paragraph 2 of the agreement (the non-compete clause) provides:

2 During the period commencing on the date hereof, and ending 2 years after the termination of the General Contractor’s employment for any reason, the General Contractor shall not engage in, or own or control an interest in, or act as principal, director or officer of, or consultant to, any firm or corporation (i) engaged in a venture or business substantially similar to that of the Employer or (ii) which is in direct or indirect competition with the Employer within a geographic radius of 25 miles from [FRI].

FRI terminated Leon’s employment in November 2017. Thereafter, Leon began

working for two horse stables located in Alpharetta, Georgia that were substantially

similar to that of FRI.

FRI sued Leon, asserting claims of breach of contract for violating both the non-

solicitation and the non-compete clauses by soliciting “current and former clients,

customers, and employees of [FRI] in an effort to carry this business to his new

employer,” and by working at FRI’s competitors within 25 miles of FRI.1 Leon moved

for summary judgment, arguing that there was no consideration for the restrictive

covenants; the Statute of Frauds prohibits the introduction of parol evidence to supply

1 FRI initially filed a complaint for interlocutory and permanent injunctive relief to enforce the restrictive covenants, but FRI’s request for injunctive relief became moot when the restrictive covenants expired. FRI then filed an amended complaint, which is at issue here. 3 that essential contract term; and he is not the kind of employee covered by OCGA §

13-8-53 (a) (1)-(4).

At a hearing on the motion for summary judgment, the trial court asked the

parties whether the non-solicitation clause is required to be limited in geographic area,

and whether the non-compete clause sufficiently detailed the prohibited activities

post-termination. After the hearing and post-hearing briefing, the trial court granted

summary judgment to Leon. Relying on North American Senior Benefits v. Wimmer, 368

Ga. App. 124, 128-131 (2) (889 SE2d 361) (2023), in which we held that a restrictive

covenant must include an express geographic term in order to be deemed reasonable

under OCGA § 13-8-53 (a), the trial court concluded that the non-solicitation clause

was unenforceable as a matter of law because it did not contain an explicit geographic

limitation. While it found the geographic limitation of 25 miles in the non-compete

clause to be reasonable, the court determined that clause was unenforceable because

it was overbroad. The trial court then found that it could not exercise its discretion to

blue-pencil the non-compete clause because to do so would render the clause

4 meaningless, and it also refused to blue-pencil the non-solicitation clause.2 This appeal

followed.

1. FRI argues that the trial court erred in determining that the non-solicitation

clause was unenforceable as a matter of law because it does not include a geographic

limitation. We agree.

The Georgia Restrictive Covenants Act (“GRCA”), enacted in 2011,

recognizes that “reasonable restrictive covenants” may serve legitimate business

interests. OCGA § 13-8-50; see also Motorsports of Conyers v. Burbach, 317 Ga. 206, 215

(2) (c) (ii) (892 SE2d 719) (2023) (discussing the GRCA’s “more permissive scheme

for construing and enforcing restrictive covenants,” compared to prior decisional

law). Additionally, by enacting the GRCA, “the General Assembly desire[d] to

provide statutory guidance so that all parties to such agreements may be certain of the

2 Regarding Leon’s claim that there was no consideration for the restrictive covenants, the trial court concluded that part performance “was sufficient to create a factual issue to remove the case from the Statute of Frauds and allow parol evidence to supply missing contract terms[.]” The court further concluded that there were genuine issues of material fact as to whether Leon was a key employee for purposes of the enforceability of the non-compete clause. See OCGA § 13-8-53 (a). The parties do not challenge these findings on appeal. 5 validity and enforceability of such provisions and may know their rights and duties

according to such provisions.” OCGA § 13-8-50. Thus, the GRCA requires a court’s

construction of a restrictive covenant “to comport with the reasonable intent and

expectations of the parties to the covenant and in favor of providing reasonable

protection to all legitimate business interests established by the person seeking

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Related

Crouch v. Bent Tree Community, Inc.
713 S.E.2d 402 (Court of Appeals of Georgia, 2011)
Suntrust Bank v. Bickerstaff
824 S.E.2d 717 (Court of Appeals of Georgia, 2019)
State v. COOK (Six Cases)
317 Ga. 659 (Supreme Court of Georgia, 2023)
MOTORSPORTS OF CONYERS, LLC v. BURBACH
892 S.E.2d 719 (Supreme Court of Georgia, 2023)
NORTH AMERICAN SENIOR BENEFITS, LLC v. WIMMER
906 S.E.2d 373 (Supreme Court of Georgia, 2024)

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Falcon Ridge, Inc. v. Michael Leon, Counsel Stack Legal Research, https://law.counselstack.com/opinion/falcon-ridge-inc-v-michael-leon-gactapp-2025.