Fairfax Media Management Pty Limited v Harrison [2014] NSWSC 470

Fairfax Media Management Pty Limited v Harrison [2014] NSWSC 470

Although Fairfax had a strongly arguable case that the 6 month restraint was reasonable given Mr Harrison's seniority, access to confidential information and customer connections, the interlocutory injunction was refused in the exercise of discretion because the proposed injunction would operate only for 7 weeks and effectively as final relief, Mr Harrison had given undertakings limiting dealings with advertisers and use of confidential information, Fairfax had not identified confidential information likely to assist Yahoo!7 immediately, there was little risk of harm to Fairfax's customer connections during the restraint period, and Fairfax delayed substantially before commencing...

Jurisdiction
Australia
Judgment Date
23 April 2014
Procedural Posture
Interlocutory Application for Injunction Restraining Employment With Yahoo!7 Pty Limited Before 11 June 2014 and Enforcing a Restraint of Trade Clause in a Terminated Employment Contract / Equity Division Duty List; Ex Tempore Judgment
Outcome
Proceedings dismissed.
Legal Topics
['interlocutory Injunction' 'restraint of Trade' 'post Employment Restraint' 'confidential Information' 'customer Connections' 'delay']
['civil Procedure' 'employment Law' 'equity'] ['interlocutory Injunction' 'restraint of Trade' 'post Employment Restraint' 'confidential Information' 'customer Connections' 'delay']

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Procedural Posture

Interlocutory Application for Injunction Restraining Employment With Yahoo!7 Pty Limited Before 11 June 2014 and Enforcing a Restraint of Trade Clause in a Terminated Employment Contract / Equity Division Duty List; Ex Tempore Judgment

Legal Issues

  1. 1 ['Whether Fairfax should obtain an interlocutory injunction restraining Mr Harrison from working directly or indirectly for Yahoo!7 before 11 June 2014.' "Whether the post-employment restraint in cl 10.2 of Mr Harrison's executive service contract was reasonably necessary to protect Fairfax's legitimate interests." 'Whether discretionary considerations, including undertakings, risk of misuse of customer connections or confidential information, and delay, justified refusing interlocutory relief.']

Ratio Decidendi

Although Fairfax had a strongly arguable case that the 6 month restraint was reasonable given Mr Harrison's seniority, access to confidential information and customer connections, the interlocutory injunction was refused in the exercise of discretion because the proposed injunction would operate only for 7 weeks and effectively as final relief, Mr Harrison had given undertakings limiting dealings with advertisers and use of confidential information, Fairfax had not identified confidential information likely to assist Yahoo!7 immediately, there was little risk of harm to Fairfax's customer connections during the restraint period, and Fairfax delayed substantially before commencing...

Court Disposition

Proceedings dismissed.

Orders

  • ['The application for interlocutory relief is dismissed.' 'The proceedings are dismissed.' 'The Court will hear the parties in relation to costs.']