The Facts
Employment contract containing post-employment restraint clause signed by CFO
A case heard in Victoria concerned a finance executive who was taken to court by her former employer after she resigned and went to work for a competitor. Aware she had been in job negotiations while it still employed her, the former employer sought to enforce the restraint clause in her contract.
A large clothing retailer with outlets all over Australia employed a chief financial officer (CFO), based in Victoria. The CFO had worked in finance at a senior level in various industries, including apparel retail, although some considerable time prior to the events giving rise to the litigation.
The CFO started working for the retailer in January 2016. She and the company had negotiated an employment contract which included a clause purporting to restrict her ability to work for the retailer’s competitors after her employment came to an end.
