Thomas NO and Others v Christians and Another (2177/2019) [2019] ZAFSHC 115 (28 June 2019)

Thomas NO and Others v Christians and Another (2177/2019) [2019] ZAFSHC 115 (28 June 2019)

The court found that the first respondent failed to prove that she signed the restraint of trade agreement under duress. There was no evidence of unlawful threats or reasonable fear sufficient to vitiate her consent. The applicants demonstrated a protectable interest in their customer connections, and the respondent's employment with a competitor posed a real risk to those interests. The restraint was reasonable in scope, limited to the Bloemfontein area, and the period was shortened to eight months to ensure proportionality. The respondent's alternative tender was rejected as unenforceable and insufficient to protect the applicants' interests. The restraint agreement was not against...

Citation
[2019] ZAFSHC 115
Parties
Applicant: Liesel Thomas N.O.; Applicant: Vernon van der Westhuizen N.O.; Applicant: Reginald Thomas N.O.; Respondent: Janice Avril Christians; Respondent: VR Security
Court
Free State High Court, Bloemfontein
Jurisdiction
South Africa
Judgment Date
28 June 2019
Case Number
2177/2019
Procedural Posture
Urgent Application / Final Order After Opposed Urgent Application
Outcome
Application granted; restraint of trade enforced for eight months; costs awarded to applicants.
Judges
Mhlambi
Legal Topics
Restraint of Trade, Employment Contract, Protectable Interest, Duress, Public Policy
Labour Law Commercial and Corporate Restraint of Trade Employment Contract Protectable Interest Duress Public Policy

Case Brief

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Parties

Liesel Thomas N.O.

Applicant

Vernon van der Westhuizen N.O.

Applicant

Reginald Thomas N.O.

Applicant

Janice Avril Christians

Respondent

VR Security

Respondent

Procedural Posture

Urgent Application / Final Order After Opposed Urgent Application

Legal Issues

  1. 1 Whether the restraint of trade agreement signed by the first respondent is enforceable.
  2. 2 Whether the agreement was signed under duress and thus voidable.
  3. 3 Whether the applicants have a protectable interest justifying enforcement of the restraint.

Ratio Decidendi

The court found that the first respondent failed to prove that she signed the restraint of trade agreement under duress. There was no evidence of unlawful threats or reasonable fear sufficient to vitiate her consent. The applicants demonstrated a protectable interest in their customer connections, and the respondent's employment with a competitor posed a real risk to those interests. The restraint was reasonable in scope, limited to the Bloemfontein area, and the period was shortened to eight months to ensure proportionality. The respondent's alternative tender was rejected as unenforceable and insufficient to protect the applicants' interests. The restraint agreement was not against...

Court Disposition

Application granted; restraint of trade enforced for eight months; costs awarded to applicants.

Orders

  • The first respondent is interdicted and restrained from competing with the applicants in the Bloemfontein area for a period of eight months from termination of employment.
  • The first respondent is prohibited from soliciting business from existing Bloemsec clients during the restraint period.