Wilson Pateras Accounting Pty Ltd v Farmer

Wilson Pateras Accounting Pty Ltd and Nicholas Pateras brought an application for interlocutory injunctive relief against Farmer, Cuff, their associated entities, and others, seeking to restrain the respondents from breaching restraint of trade clauses in two deeds. The applicants also sought to enjoin the respondents from reproducing and using confidential information within the applicants' procedure manual and certain client working papers. The applicants rely on a circumstantial case to allege that, unless restrained by the Court, there is a real risk that Mr Farmer and BSCT will solicit and canvass the restrained clients and provide accountancy services to them during the restraint period. The respondents deny the allegations. The Court found that there is a reasonable prima facie case against Mr Farmer, Mr Cuff, and their associated entities. The Court held that the principles relating to the grant of an interlocutory injunction were not in dispute. The Court concluded that the applicants had established a sufficiently serious arguable case for final quia timet injunctions to justify the grant of interlocutory relief, having regard to the balance of convenience.

The Court granted the applicants leave to file an amended originating application and made interlocutory injunctions restraining the respondents from breaching the restraint clauses and using confidential information. The Court ordered that the duration of the order should be until judgment or further order, and in any event for no longer than the expiry of the two year restraint period referred to in the Unitholders' Deed. The Court directed that draft orders be submitted to the Court for consideration and scheduled a hearing on the question of costs and the further conduct of the proceeding.