New Zealand Case Law: Decisions & Judgments | LexChat

Topic

Reasonableness of restraint

Legal area

Court

25 Oct 2017

THE CARPET BARN HAMILTON LTD v JOBE [2017] NZHC 2608

Citation

[2017] NZHC 2608
Court

High Court

The Court allowed the appeal and granted a limited interim interlocutory injunction because Carpet Barn demonstrated a serious question to be tried and the balance of convenience favoured restraint: the shareholders' covenant is arguably reasonable given the commercial bargain, independent advice and consideration tied to shareholding; damages would be difficult to quantify; and the judge below erred by improperly equating employment restraints with shareholder restraints and by giving excessive weight to alleged animus and the employment restraint. The interim restraint is confined in durati…
21 Nov 2012

RYAN & ANOR V MASON HC HAM CIV 2011-419-000083

Citation

openlaw-035aa011_e98d_4b4c_bb10_32521b36ad26.pdf
Court

High Court

The 22 July 2008 agreement was enforceable as a binding contract upon signature notwithstanding lack of formal delivery; however the five-year 20km geographical restraint was unreasonable and unenforceable and the five-year non-solicitation covenant was excessive and was judicially modified to a two-year duration under s8 Illegal Contracts Act 1970; there was insufficient evidence that the defendant solicited clients or breached fiduciary duties, so all plaintiffs' causes of action failed.