Skillsearch Contracting Pty Ltd v Geoffrey Drury [2012] NSWSC 1035

Skillsearch Contracting Pty Ltd v Geoffrey Drury [2012] NSWSC 1035

There is a serious question to be tried as to whether the defendant's systematic, commercial assistance to a competitor falls within the meaning of 'engaged in any business which is competitive' as restrained by the contract, and damages would not be an adequate remedy; therefore, the balance of convenience favours granting interlocutory relief in the plaintiff's favour, conditional on the usual undertaking as to damages.

Parties
Plaintiff: Skillsearch Contracting Pty Ltd; Defendant: Geoffrey Drury
Jurisdiction
Australia
Judgment Date
21 August 2012
Procedural Posture
Interlocutory Application / Hearing and Determination of Motion for Interlocutory Injunction
Outcome
Interlocutory injunction granted; plaintiff's costs of the motion in the proceedings; paragraph 1 of the motion dismissed
Legal Topics
Restraint of Trade, Post Employment Restrictions, Non Competition Restraint, Interlocutory Injunction
Equity Employment Law Restraint of Trade Post Employment Restrictions Non Competition Restraint Interlocutory Injunction

Case Brief

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Parties

Skillsearch Contracting Pty Ltd

Plaintiff

Geoffrey Drury

Defendant

Procedural Posture

Interlocutory Application / Hearing and Determination of Motion for Interlocutory Injunction

Legal Issues

  1. 1 Whether the defendant's conduct contravened the non-competition covenant in clause 13.1(a) of the Executive Service Agreement
  2. 2 Whether an interlocutory injunction should be granted to restrain the defendant from engaging in competitive business

Ratio Decidendi

There is a serious question to be tried as to whether the defendant's systematic, commercial assistance to a competitor falls within the meaning of 'engaged in any business which is competitive' as restrained by the contract, and damages would not be an adequate remedy; therefore, the balance of convenience favours granting interlocutory relief in the plaintiff's favour, conditional on the usual undertaking as to damages.

Court Disposition

Interlocutory injunction granted; plaintiff's costs of the motion in the proceedings; paragraph 1 of the motion dismissed

Orders

  • Plaintiff to give usual undertaking as to damages under rule 25.8 of the Uniform Civil Procedure Rules 2005 (NSW)
  • Defendant (by himself, his servants or agents) restrained until 30 June 2013 and within Australia from undertaking, carrying on or being engaged in any business competitive with the plaintiff, until further order