Allied Mills Pty Ltd

In *Allied Mills Pty Ltd v Nicole Worth*, the Supreme Court of Victoria considered a dispute between Allied Mills Pty Ltd (the applicant) and Nicole Worth (the respondent). The core of the disagreement concerned the respondent's alleged breach of a restraint of trade clause contained within her employment contract with the applicant.

The primary legal issue before the Court was whether the restraint of trade clause was valid and enforceable. Specifically, the Court had to determine if the clause went beyond what was reasonably necessary to protect the legitimate business interests of Allied Mills Pty Ltd, considering the nature of the business, the respondent's role, and the duration and geographical scope of the restraint.

The Court applied the established legal principles governing restraints of trade, which are presumed to be void as contrary to public policy unless they can be shown to be reasonable. In assessing reasonableness, the Court considered whether the restraint protected a proprietary interest of the employer, such as trade secrets or customer connections, and whether the scope of the restraint was no wider than necessary to protect that interest. The Court found that the restraint, as drafted, was wider than reasonably necessary to protect Allied Mills' legitimate business interests and was therefore void and unenforceable.