Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 165/10
Hearing date 9 Apr 2010
Determination date 12 April 2010
Member Y S Oldfield
Representation P McBride ; no appearance
Location Auckland
Parties OCS Ltd v Haynes
Summary INJUNCTION – No appearance for respondent – Application for interim relief on urgent basis – Respondent resigned from employment to take up position with competitor – Respondent not required to work out notice but unable to take up new position until expiry of notice period – Applicant discovered respondent sent extensive body of confidential information to private email address – Applicant sought extreme urgency for matter to be heard given unlawful direct competition, coupled with demonstrable misappropriation of highly sensitive confidential information – Authority declined to proceed on ex parte basis – Found application for interim relief should be addressed on urgent basis – Found applicant had arguable case for permanent injunctive relief requiring return of information – Applicant argued respondent started work with new employer before notice period ended – Found arguable case confidentiality breached – Found no adequate alternative to injunction restraining respondent from working in competition during rest of notice period because contracts up for renewal and critical applicant had unimpeded opportunity to renegotiate arrangements – Found balance of convenience and overall justice favoured grant of injunctive relief – Found respondent paid for notice period so would not suffer financial hardship by not commencing new employment until after notice period expired – Found employment agreement provided for non-competition and restrained respondent from taking up employment with competitor in greater Auckland area for period of three months after employment ended – Found Bay of Plenty did not fall within greater Auckland area – Respondent required to deliver all confidential information including emails to applicant – Respondent required to delete all copies of information – Respondent required to disclose to Authority full detail of disclosure of information to new employer and any third parties – Respondent restrained from undertaking employment until notice period expired – Parties directed to mediation
Result Application granted ; Orders made accordingly ; Costs reserved
Main Category Injunction
Cases Cited Allright v Canon New Zealand Ltd unreported, Couch J, 3 Dec 2008, AC 47/08;NZ Stevedoring Co Ltd v NZ Waterfront Workers IUOW [1990] 3 NZILR 308
Number of Pages 11
PDF File Link: aa 165_10.pdf [pdf 31 KB]