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ARTICLE · 30 MAY 2019

Evidence is crucial when dealing with misuse of confidential information by former employees

This case highlighted the need to ensure that evidence can support an allegation of misuse of confidential information.

AustraliaLitigation, Mediation & Arbitration

Misuse of confidential information can be a significant cost to a business and ensuring the business has evidence of misuse is crucial to the success of the claim.

A recent case1 has highlighted the need to ensure that you have evidence to support an allegation that a former employee has misused confidential information.

Facts

One Dream Enterprises Pty Ltd ("One Dream") operates a real estate agency.

  • The Defendants were former employees who set up their own real estate agency, 500 Keys Pty Ltd ("500 Keys") in competition to One Dream.
  • One Dream lost business to 500 Keys – 14 landlords with 36 properties under management and the sale of a property.
  • One Dream brought injunction proceedings in the Supreme Court to restrain 500 Keys from using One Dream's confidential information.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances. Madgwicks is a member of Meritas, one of the world's largest law firm alliances.

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