| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 129/04 |
| Hearing date | 1 Apr 2004 |
| Determination date | 16 April 2004 |
| Member | K J Anderson |
| Representation | P Churchman ; L Campbell |
| Location | Auckland |
| Parties | Duffill Watts & King Ltd v Moore |
| Summary | INJUNCTION - RESTRAINT OF TRADE - Application for injunction preventing respondent from further work with new employer (M") in relation to particular contract with third party ("TP") - M and applicant only tenders for contract - Respondent former employee - Respondent accepted restraint of trade covenant in original employment agreement - Covenant carried over to last employment agreement so consideration not at issue - Narrow application of covenant because restricted activities had to be reasonably construed as taking advantage of former position to detriment of applicant - Two year term unreasonable and illegal - Modified to one year - No geographical boundary - Modified to province of Bay of Plenty - Respondent's involvement with contract via M constituted breach of restraint of trade - Ordered to refrain from further involvement" |
| Result | Application granted ; Injunction ordered ; Costs reserved |
| Statutes | ERA s137;ERA s161;Illegal Contracts Act 1970 s8;Illegal Contracts Act 1970 s8(1)(b) |
| Cases Cited | Gallagher Group Ltd v Walley [1999] 1 ERNZ 490;Medic Corporation Ltd v Barrett [1992] 3 ERNZ 977;Pendergrast v Davies unreported, Potter J, 1 August 2002, CP685-SW01;Radio Horowhenua Ltd v Bradley [1993] 2 ERNZ 1085;Stenhouse Australia Ltd v Phillips [1974] AC 391 |
| Number of Pages | 10 |
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