Restraints of trade / restrictive covenants in employment contracts

EXAMPLE 1

Mr Smith is offered a job as a state manager for a national company. Part of his work will involves sales.

The company provides him a written employment contract to sign, which includes restraints of trade.

Mr Smith is unsure whether to sign the contract.

He is worried the restraints of trade will limit his future employment prospects.

Mr Smith seeks advice about the extent to which the restraint clauses in the contract are enforceable.

Example 2

Mr Jones has recently been offered a job with a new employer, which he has accepted.

The new employer is in competition with his existing employer, ABC Pty Ltd.  

When he started work with ABC Pty Ltd, he was provided with a letter of appointment.

The letter of appointment stated that post-resignation, he could not do any work for any client of ABC Pty Ltd, for 3 years into the future. 

Mr Jones has been served with a writ by ABC Pty Ltd, which has found out he is about to resign and work for a competitor.

ABC Pty Ltd, as part of the case, is seeking an interlocutory injunction from the Supreme Court to immediately prevent Mr Jones from doing any work for any existing clients of ABC Pty Ltd.

Mr Jones seeks a lawyer to act for him in the case.