Financial Integrity Group Pty Limited v Farmer

In the case of Financial Integrity Group Pty Limited v Farmer, the plaintiff, a financial services company, sought relief against its former employee, who had allegedly breached post-employment restraints and competed unfairly. The legal dispute involved the enforceability of a restraint of trade clause, an implied confidentiality obligation, and the admissibility of evidence on a summary dismissal application. The Australian Capital Territory Supreme Court was tasked with addressing these complex employment law issues.

The court had to determine whether the restraint of trade clause, which was part of an Australian Workplace Agreement not certified by the Office of the Employment Advocate, was valid and enforceable. It also had to consider if the former employee breached an implied confidentiality obligation by retaining a computer containing customer information and providing financial advice to the plaintiff's customers post-employment. Furthermore, the court had to assess the admissibility of evidence in a summary dismissal application and the appropriateness of resolving factual disputes in such proceedings.

In reaching its decision, the court found that the Workplace Agreement in question was "of no effect" due to non-certification, which invalidated the restraint of trade clause. The court held that an implied confidentiality obligation could extend post-employment but needed to be balanced against public interest considerations. The court also ruled that factual disputes should not be resolved in a summary dismissal application, and the evidence presented did not sufficiently support the plaintiff's claims. Consequently, the court dismissed the originating application in part, struck out certain paragraphs of the Statement of Claim for being deficient, and granted the plaintiff leave to amend the pleadings.

The orders of the court included striking out specific paragraphs of the Amended Statement of Claim, requiring the plaintiff to apply for leave to amend the Statement of Claim within 28 days, and allowing the defendants to enter judgment with costs if the plaintiff failed to amend the Statement of Claim by a specified date. Additionally, the court mandated that any submissions regarding costs be filed within seven days.