Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 320/10
Hearing date 21 May 2010
Determination date 12 July 2010
Member D King
Representation A Drake, R Childs ; R Pool
Location Auckland
Parties Naturex Ltd v Rogers and Ors
Other Parties Skin Institute Medical Spa Ltd, Skin Institute Ltd, Skin Institute Holding Company
Summary RESTRAINT OF TRADE – Applicant sought to enforce restraint of trade against first respondent (“R”) – Individual employment agreement contained restraint of trade provision – Applicant claimed confidential information constituted specialised skills and practical training, training manual and training in optimal customer care – Authority found same information provided elsewhere – Found package of information and speed delivered did not render information confidential – Applicant claimed would lose competitive advantage if skills and training disclosed to competitor – Found no competitive advantage – Found nothing in applicant’s property distinct from skill, experience and know-how of R – Found information R acquired could have been acquired in course of working in area of appearance medicine – Found R did not have sufficient client base to be risk to employer if R were to go to competitor – Found content of training manual and training course not new and confidential – Found no proprietary interest to protect – Found restraint of trade not enforceable – Appearance medicine nurse
Result Application dismissed ; Costs reserved
Main Category Restraint of Trade
Cases Cited Airgas Compressor Specialists Ltd v Bryant [1998] 2 ERNZ 42;Ceiling Care (NZ) Ltd v Jensuelynn Enterprises Ltd unreported, Wylie J, 9 Oct 1987, A1337/83;Coco v A N Clark (Engineers) Ltd (1969) RPC 491;Fuel Espresso Ltd v Hsieh [2007] 2 NZLR 651;Herbert Morris Ltd v Saxelby [1916] AC 688;Lansing Linde Ltd v Kerr [1991] 1 All ER 418;Nedax Systems v Waterford Security Ltd [1994] ERNZ 491;NZ Needle Manufacturers Ltd v Taylor [1975] 2 NZLR 33;Westminster Chemical NZ Ltd v McKay [1973] NZLR 659
Number of Pages 9
PDF File Link: aa 320_10.pdf [pdf 31 KB]