Restrictions OK
Jurisdiction Employment Relations Authority - Christchurch
Reference No CA 36/09
Hearing date 27 Mar 2009
Determination date 31 March 2009
Member P Cheyne
Representation M Beech, S Grice ; J Goldstein, K Smith, S Lean-Massey
Location Christchurch
Parties Hose Supplies (New Zealand) Ltd v Ryan and Anor
Other Parties De Goldi
Summary INTERIM INJUNCTION – Restraint of trade – Respondent’s former employees of applicant – Applicant claimed respondents breached, duty of fidelity, confidence, contract, and good faith – Applications consolidated – Applicant discovered after resignation of second respondent that first respondent and second respondent directors and substantial shareholders in company (“C”) – Respondents argued C incorporated to operate tyre importing business but had not traded – Respondents argued any work associated with C not done using applicant’s resources – Also argued applicant not involved in C’s type of business – Authority found no evidence to suggest first respondent retained anything belonging to applicant amounting to applicant’s confidential information – Respondent claimed applicant breached non-solicitation obligations – Found applicant’s sound bite not evidence of arguable attempt by first respondent to solicit co-worker – Found no reason to issue interim injunction restraining applicant from soliciting co-workers – Authority rejected applicant’s claim of misuse of confidential information by first respondent – Authority declined to make all orders sought against first respondent – Authority found no evidence second respondent took away or misused applicant’s confidential information – Found no room for finding to arguable standard restraint provisions in earlier employment agreement applicable – Found no contractually binding post termination restraints – Found second respondent’s contact with another agency not evidence of anything amounting to breach of fidelity or confidence – Authority declined to make all orders sought against second respondent
Result Applications dismissed ; Costs reserved
Main Category Injunction
Number of Pages 14
PDF File Link: ca 36_09.pdf [pdf 47 KB]