| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Wellington |
| Reference No | WA 145/04 |
| Hearing date | 27 Oct 2004 - 29 October 2004 (2 days) |
| Determination date | 01 November 2004 |
| Member | P R Stapp |
| Representation | P Churchman, B Fleming ; M Gazley |
| Location | New Plymouth |
| Parties | Barnardos Charitable Trust v Cave and Ors |
| Other Parties | Cottam, Duncan |
| Summary | INTERIM INJUNCTION - Application to enforce restraint of trade - Alleged respondents breached provisions relating to confidential information, conflict of interest and restraint of trade - Respondents resigned and advertised for home-based educators - Accepted that two new employees previously employed by applicant - Alleged during course of employment acted in contravention of terms of employment by applying for licenses to set up competing service - Alleged respondents failed to seek consent in respect to potential conflict of interest as required - Alleged misused confidential information - Claimed respondents actions caused loss of income for applicant - Arguable case - Very nature of restraint of trade provisions in employment agreements gave rise to arguments about enforceability - Issue about extent of restraint - Balance of convenience in favour of respondents - Alternative remedies available - Overall justice of case best achieved by full investigation - Early dates existed for investigation - Application declined - COSTS - Costs to lie where they fall - Respondents conduct in relation to not producing relevant documents caused some inconvenience but fell short of establishing unnecessary costs incurred - Left open to reconsider costs if evidence in substantive investigation showed one side had been put to unnecessary cost - In that regard costs reserved for any decision required on a variation - Expected that parties engage in discussions to resolve outstanding matters - Teachers |
| Result | Application declined ; Orders accordingly ; Costs to lie where they fall |
| Cases Cited | Gallagher Group Ltd v Walley [1999] 1 ERNZ 490;Klissers Farmhouse Bakeries Ltd v Harvest Bakeries Ltd [1985] 2 NZLR 129 (CA);Medic Corporation Ltd v Barrett [1992] 3 ERNZ 977 |
| Number of Pages | 12 |
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