NSW Caselaw
New South Wales Court of Appeal
CITATION: BB Australia Pty Ltd v Karioi Pty Ltd [2010] NSWCA 347
HEARING DATE(S): 16 and 17 September 2010
JUDGMENT DATE: 13 December 2010
JUDGMENT OF: Giles JA at 1; Macfarlan JA at 2; Sackville AJA at 103
DECISION: The appeal is dismissed with costs.
CATCHWORDS: CONTRACT - franchise agreements - whether ending of franchise relationships constituted termination of agreements - whether franchisor had right to acquire franchisee's leasehold interests for no consideration - contractual interpretation - commercial, businesslike construction - CONTRACT - restraint of trade - franchise agreements - whether restraints on franchisee and its directors constituted reasonable protection of franchisor's legitimate interests - whether contractual regime sufficiently protected any interest in confidential information and industrial property - ESTOPPEL - estoppel by convention - whether conventional estoppel arose when franchise businesses continued after conclusion of specified contractual terms - parties did not make any consistent, clearly identifiable assumption about the nature of their relationship and how it was to end
LEGISLATION CITED: Restraints of Trade Act 1976
CATEGORY: Principal judgment
Blockbuster Pty Ltd v Karioi Pty Ltd [2009] NSWSC 1089 Bridge v Deacons [1984] 1 AC 705 Chipsaway International Ltd v Kerr [2009] EWCA Civ 320 Commissioner of Taxation of the Commonwealth of Australia v Murry [1998] HCA 42; (1998) 193 CLR 605 Dyno Rod Plc v Reeve [1999] FSR 148 EzyDVD Pty Ltd v Lahrs Investments Qld Pty Ltd [2009] QCA 389 CASES CITED: Geraghty v Minter [1979] HCA 42; (1979) 142 CLR 177 Hanna v OAMPS Insurance Brokers Ltd (ACN 005 543 920) [2010] NSWCA 267 KA & C Smith Pty Ltd v Ward (1998) 45 NSWLR 702 Lindner v Murdock's Garage [1950] HCA 48; (1950) 83 CLR 628 Miles v Genesys Wealth Advisers Limited [2009] NSWCA 25 Nordenfelt v Maxim Nordenfelt Guns and Ammunition Company Ltd [1894] AC 535 Ryeldar Pty Ltd v Euphoric Pty Ltd [2007] NSWCA 65; (2007) 69 NSWLR 603 Stenhouse Australia Ltd v Phillips [1974] AC 391
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