Idameneo (No 123) Pty Ltd v Dr Teresa Angel-Honnibal [2002] NSWSC 1214

Reported Decision : (2003) Aust Contract Reports 90-161 (2003) ATPR 41-918

New South Wales Supreme Court

CITATION : Idameneo (No 123) Pty Ltd v Dr Teresa Angel-Honnibal [2002] NSWSC 1214 CURRENT JURISDICTION: Equity FILE NUMBER(S) : SC 3149/02 HEARING DATE(S) : 4 and 5 December 2002 JUDGMENT DATE : 18 December 2002

PARTIES : Idameneo (No 123) Pty Ltd - Plaintiff Dr Teresa Angel-Honnibal - Defendant JUDGMENT OF : Palmer J

COUNSEL : R.R.I. Harper - Plaintiff Ms J. Baxter - Defendant SOLICITORS : Minter Ellison - Plaintiff Bolzan & Princi - Defendant CATCHWORDS : TRADE AND COMMERCE - RESTRAINT OF TRADE - GOODWILL - Plaintiff purchases Defendant's medical practice and requires Defendant to conduct practice from Plaintiff's medical centre - covenant against competition - onus of proof where Restraints of Trade Act invoked - whether restraint a "brass plate covenant" - EVIDENCE - WHAT EVIDENCE IS REQUIRED TO PROVE RESTRAINT OF TRADE IS REASONABLE - LIQUIDATED DAMAGES - Onus of proof. Health Insurance Act 1973 (Cth) LEGISLATION CITED : Restraints of Trade Act, 1976 (NSW) - s.4(1) Supreme Court Act 1970 (NSW) - s.94 Trade Practices Act 1974 (Cth) - s.51AC - AMEV-UDC Finance Ltd v Austin (1986) 162 CLR 170 - Blomley v Ryan (1956) 99 CLR 362 - Bridge Pump Co Pty Ltd v Myles Southwest Fuel Supplies Pty Ltd (unrep.) WA Full Court, 22 October 1997 - Brown & Krippner Pty Ltd v Hanlon (1995) ATPR 41-386 - Buckley v Tutty (1971) 125 CLR 353 - The Commercial Bank of Australia Limited v Amadio and Anor (1983) 151 CLR 447 - Curro and Anor v Beyond Productions Pty Ltd (1993) 30 NSWLR 337 - Dunlop Pneumatic Tyre Co Ltd v New Garage & Motor Co Ltd [1915] AC 79 - Esanda Finance Corporation Ltd v Plessnig (1989) 63 ALJR 238 - Esso Petroleum Co Ltd v Harper's Garage (Stourport) Ltd [1968] AC 269 CASES CITED : - Herbert Morris Ltd v Saxelby [1916] 1 AC 688 - Hospitality Group Pty Ltd v Australian Rugby Union Ltd (2001) 110 FCR 157 - IRAF Pty Ltd v Graham [1982] 1 NSWLR 419 - Kone Elevators Pty Ltd v McNay (1997) ATPR 41-564 - Lu v Lim (1993) 30 NSWLR 332 - Nordenfelt v Maxim Nordenfelt Guns & Ammunition Co Ltd [1894] AC 535 - Orton v Melman [1981] 1 NSWLR 583 - Papastravou v Gavan [1968] 2 NSWR 286 - Queensland Co-operative Milling Association v Pamag Pty Ltd (1973) 133 CLR 260 - Robophone Facilities Ltd v Blank [1966] 1 WLR 1428 - Routh v Jones [1947] 1 All ER 758 DECISION : Restraint too wide in terms; restraint read down, injunction granted; liquidated damages clause upheld; other relief refused.