Johnson and Another v Sivewright and Others (1729/2020) [2021] ZAECPEHC 5 (26 January 2021)

Johnson and Another v Sivewright and Others (1729/2020) [2021] ZAECPEHC 5 (26 January 2021)

The court found that the applicants failed to provide evidence that the respondents approached their clients or employees with a view to persuade them to cease dealing with the applicants. The allegations were bald and unsupported by facts. The restraint of trade clause, as drafted, was found to be unreasonable in its scope and duration, particularly as it sought to restrain the respondents from engaging in any engineering and maintenance business within the Eastern Cape or South Africa for two years, regardless of whether such business was in competition with the applicants. The applicants did not demonstrate that the respondents were competing with them or exploiting confidential...

Citation
[2021] ZAECPEHC 5
Parties
Applicant: Sharl Johnson; Applicant: Expert-Tech Engineering (Pty) Ltd; Respondent: Mark James Sivewright; Respondent: Solomon Brendon Kiewiets; Respondent: Johannes Cornelius Botha; Respondent: Justin Eugene Kiewiets; Respondent: Balega Engineering (Pty) Ltd
Court
Eastern Cape High Court, Port Elizabeth
Jurisdiction
South Africa
Judgment Date
26 January 2021
Case Number
1729/2020
Procedural Posture
Urgent Application / Final Interdict Application
Outcome
Application dismissed with costs.
Judges
Beshe
Legal Topics
Restraint of Trade, Employment Contracts, Interdict, Competition Between Employer and Ex Employee
Labour Law Commercial and Corporate Restraint of Trade Employment Contracts Interdict Competition Between Employer and Ex Employee

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 3 Party arguments 2
Sign in to unlock

Parties

Sharl Johnson

Applicant

Expert-Tech Engineering (Pty) Ltd

Applicant

Mark James Sivewright

Respondent

Solomon Brendon Kiewiets

Respondent

Johannes Cornelius Botha

Respondent

Justin Eugene Kiewiets

Respondent

Balega Engineering (Pty) Ltd

Respondent

Procedural Posture

Urgent Application / Final Interdict Application

Legal Issues

  1. 1 Whether the respondents breached the restraint of trade clause in their employment contracts with the applicants.
  2. 2 Whether the applicants are entitled to an interdict restraining the respondents from approaching their clients or employees.
  3. 3 Whether the restraint of trade clause is reasonable and enforceable under South African law.

Ratio Decidendi

The court found that the applicants failed to provide evidence that the respondents approached their clients or employees with a view to persuade them to cease dealing with the applicants. The allegations were bald and unsupported by facts. The restraint of trade clause, as drafted, was found to be unreasonable in its scope and duration, particularly as it sought to restrain the respondents from engaging in any engineering and maintenance business within the Eastern Cape or South Africa for two years, regardless of whether such business was in competition with the applicants. The applicants did not demonstrate that the respondents were competing with them or exploiting confidential...

Court Disposition

Application dismissed with costs.

Orders

  • The application is dismissed with costs.