FNB Insurance Brokers v Grange (J252/18) [2018] ZALCJHB 77 (21 February 2018)

FNB Insurance Brokers v Grange (J252/18) [2018] ZALCJHB 77 (21 February 2018)

The court found that the application was urgent as the applicant had set out sufficient reasons for urgency and the respondent's challenge was a bare denial. The respondent admitted signing the restraint agreement, which was validly transferred under section 197 of the Labour Relations Act. The respondent breached the restraint by disclosing confidential information and soliciting clients. She failed to demonstrate that enforcement of the restraint was unreasonable or contrary to public interest. The applicant's protectable interests were prejudiced, justifying the grant of the interdict and costs on a party and party scale.

Citation
[2018] ZALCJHB 77
Parties
Applicant: FNB Insurance Brokers, a business unit of the FNB Business Segment of First National Bank, a division of Firstrand Bank Limited (FNBIB); Respondent: Maria Susanna Elizabeth Le Grange
Court
Labour Court Johannesburg
Jurisdiction
South Africa
Judgment Date
21 February 2018
Case Number
J252/18
Procedural Posture
Urgent Application / Application for Urgent Interdict and Restraint Enforcement
Outcome
Application granted. The respondent is interdicted and restrained for 12 months from using confidential information or soliciting clients. Costs awarded to the applicant.
Judges
GN Moshoana
Legal Topics
Restraint of Trade, Confidential Information, Non Solicitation, Section 197 Transfer, Employment Contract Enforcement
Labour Law Commercial and Corporate Restraint of Trade Confidential Information Non Solicitation Section 197 Transfer Employment Contract Enforcement

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Parties

FNB Insurance Brokers, a business unit of the FNB Business Segment of First National Bank, a division of Firstrand Bank Limited (FNBIB)

Applicant

Maria Susanna Elizabeth Le Grange

Respondent

Procedural Posture

Urgent Application / Application for Urgent Interdict and Restraint Enforcement

Legal Issues

  1. 1 Whether the application meets the requirements for urgency under Rule 8.
  2. 2 Whether a valid and enforceable restraint of trade agreement exists between the parties.
  3. 3 Whether the respondent breached the restraint and confidentiality undertakings.

Ratio Decidendi

The court found that the application was urgent as the applicant had set out sufficient reasons for urgency and the respondent's challenge was a bare denial. The respondent admitted signing the restraint agreement, which was validly transferred under section 197 of the Labour Relations Act. The respondent breached the restraint by disclosing confidential information and soliciting clients. She failed to demonstrate that enforcement of the restraint was unreasonable or contrary to public interest. The applicant's protectable interests were prejudiced, justifying the grant of the interdict and costs on a party and party scale.

Court Disposition

Application granted. The respondent is interdicted and restrained for 12 months from using confidential information or soliciting clients. Costs awarded to the applicant.

Orders

  • The matter is heard as one of urgency.
  • The respondent breached the restraint agreement by disclosing confidential information to her daughter Carla.