Bis Industries Limited v Toll Holdings Limited & Anor [2012] NSWSC 1427

Supreme Court New South Wales

Medium Neutral Citation: Bis Industries Limited v Toll Holdings Limited & Anor [2012] NSWSC 1427 Hearing dates: 1, 2 and 6 November 2012 Decision date: 23 November 2012 Jurisdiction: Equity Division Before: Bergin CJ in Eq Decision: Restraints valid and enforceable Catchwords: [CONTRACT] - [RESTRAINT] - where two large organisations conducting negotiations for possible equity investment or purchase -where non-solicitation restraint agreed during due diligence regime - where due diligence process aborted after approximately three weeks - some confidential information provided - where approaches to employee made prior to entry into restraint - where employment secured after entry into restraint - whether restraint reasonable and enforceable - whether injunction should be granted.

[EMPLOYEE RESTRAINT] - where employee renegotiates notice period under contract - where employee agrees to 6 months restraint - whether restraint reasonable and enforceable - whether injunction should be granted. Legislation Cited: Restraints of Trade Act 1976 Cases Cited: Attwood v Lamont [1920] 3 KB 571 Cactus Imaging Pty Limited v Peters [2006] NSWSC 717; (2006) 71 NSWLR 9 Esso Petroleum Co Ltd v Harper's Garage (Stourport) Ltd [1968] AC 269 Herbert Morris Ltd v Saxelby [1916] 1 AC 688 Jones v Dunkel (1959) 101 CLR 298 Kores Manufacturing Co Ltd v Kolok Manufacturing Co Ltd [1957] 3 All ER 158 Kores Manufacturing Co Ltd v Kolok Manufacturing Co Ltd [1958] 2 All ER 65 Miller v Jackson [1977] QB 966 News Limited v Australian Rugby Football League Ltd (1996) 64 FCR 410 Nordenfelt v Maxim Nordenfelt Guns & Ammunition Co Ltd [1894] AC 535 Patrick Stevedores No 2 Pty Ltd v Maritime Union of Australia (No 3) [1998] HCA 30; (1998) 195 CLR 1 Portal Software v Bodsworth [2005] NSWSC 1179 Seven Network (Operations) Ltd v Warburton (No 2) [2011] NSWSC 386; (2011) 206 IR 450 SST Consulting Services Pty Ltd v Rieson [2006] HCA 31; (2006) 225 CLR 516 Tullett Prebon (Australia) Pty Limited v Simon Purcell [2008] NSWSC 852 Texts Cited: Heydon, JD, The Restraint of Trade Doctrine (LexisNexis Butterworths, 3rd ed., 2008) Category: Principal judgment Parties: Bis Industries Limited (Plaintiff) Toll Holdings Limited (First Defendant) Deryl George Freeman (Second Defendant) Representation: Counsel: CRC Newlinds SC/MA Izzo (Plaintiff) MS White (First Defendant) N Manousaridis/A Poljak (Second Defendant) Solicitors: Corrs Chambers Westgarth (Plaintiff) Minter Ellison (First Defendant) Arns & Associates (Second Defendant) File Number(s): 2012/299977 Publication restriction: Nil