Sale of Goodwill for S-Corp

[cientax]

Have S-Corp that sold portion of territory (which I think is considered Goodwill ?) They bought this territory along with other territories when they purchased a salon. They decided to sell off some of their territory because they (like everyone else) needed the $$$$.

Questions: is this reported on Form 4797 as 1245 property?

[jainen]

>>1245 property<<

I think it is a Section 197 intangible, which is treated as Section 1245 if placed in service and used for more than a year.