ATF Services Pty Ltd v Ronald Chapman & Anor [2011] NSWSC 1024

Supreme Court New South Wales

Medium Neutral Citation: ATF Services Pty Ltd v Ronald Chapman & Anor [2011] NSWSC 1024 Hearing dates: 25 and 31 August 2011 Decision date: 01 September 2011 Jurisdiction: Equity Division Before: Pembroke J Decision: See paragraph [35] Catchwords: RESTRAINT OF TRADE - validity of restraint - legitimate interests - customer connection - confidentiality - whether restraint reasonable - relevance of legal advice to reasonableness of restraint - proportionality between protection of interests and duration/location of restraint. CONTRACTS - construction - parties - whether party bound personally when signing as director of company - whether objective intention to be bound can be ascertained - relevance of surrounding circumstances and text of contract. CONTRACT - meaning of termination - whether relevant distinction between effluxion of time and termination - contract to be read as whole - absurdity, commercial sense Cases Cited: BB Australia Pty Ltd v Karioi Pty Ltd [2010] NSWCA 347 Buckley v Tutty (1971) 125 CLR 353 Cole and Battery World Pty Limited v Heavenly Bound Pty Limited [2009] NSWSC 1309 Curro v Beyond Productions Pty Ltd (1993) 30 NSWLR 337 Empirnall Holdings Pty Ltd v Machon Paull Partners Pty Ltd (1988) 14 NSWLR 523 Franklins Pty Ltd v Metcash Trading Limited [2009] 76 NSWLR 603 Seven Network (Operations) Limited v Warburton (No 2) [2011] NSWSC 386 Category: Principal judgment Parties: ATF Services Pty Ltd - plaintiff Ronald Chapman - first defendant Vicron Constructions Pty Ltd - second defendant Representation: J C Giles - for the plaintiff R I Bellamy with Ms L Doust - for the first and second defendants Norton Rose Australia - for the plaintiff Stacks Forsters - for the first and second defendants File Number(s): 2011/195780