OFFICIAL Dave Donaghy Named New Broncos CEO

Well, I just did some very interesting reading on non-compete clauses, here's a few highlights......

"A restraint clause can’t be accepted on face value because the courts will uphold it only if it is ‘reasonable’. For example, a court won’t enforce a clause that unfairly interferes with a worker’s right to contribute their own labour. As stated by the High Court of Australia in Buckley v Tutty (1971) 125 CLR 353 at 380: “Unreasonable restraints are unenforceable as it is contrary to public welfare that a person should be unreasonably prevented from earning a living in whichever lawful way he chooses and that the public should be unlawfully deprived of his services.” Post-employment restraints are presumed to be invalid and unenforceable unless it can be shown that they are genuinely necessary to protect commercial interests. The onus is on the employer to demonstrate that a clause imposes no greater restraint than is reasonably necessary to protect these interests. Employers can’t use a restraint clause to protect themselves against the usual processes of competition in a sector or market. Generally, broad restrictions on competition won’t be deemed to be reasonable or enforceable. Legitimate interests that are commonly recognised as supporting a valid restraint include the employer’s confidential information or trade secrets, customers and clients of the business (business goodwill) and the employer’s staff."

https://www.seek.com.au/employer/hiring-advice/restraints-trade-non-compete-clauses-reasonable


"Simply because an employment contract contains a restraint provision, does not necessarily mean it is enforceable and it may be void.
The law in New South Wales is as stated in the case of Write v Gasweld (1991) 22 NSWLR 317:
An employer is not entitled to protect himself [or herself] against mere competition by a former employee, and the corollary of that is that the employee is entitled to use skills, experience and know-how acquired in the service of the former employer in legitimate competition…
However, the Courts will enforce a restraint if it is to protect the legitimate business interests of the employer, as long as those interests are important enough and the restraint goes only as far as necessary."

https://www.fglaw.com.au/non-compete-employment/


"A non-compete clause operates to restrict one party from undertaking competitive activities, which may also include employment. Trying to enforce an unreasonable non-compete clause is against the public policy of a market economy. Doing so may restrict a party from participating in the economy. A provision may be unreasonable if it prevents a party from offering their skills or undertaking further business activities. A court can sever certain sections of a clause if it considers the clause (or parts of the clause) to be unreasonable."

https://legalvision.com.au/how-does-a-non-compete-clause-work/
That's what I said here:

The Storm will still push on the issue of trade secrets.
 
That's what I said here:

The Storm will still push on the issue of trade secrets.
Non-disclosure agreement would be better for that I'd imagine... and likely already exists as part of him leaving
 
Non-disclosure agreement would be better for that I'd imagine... and likely already exists as part of him leaving
Yes, that's true. Non compete is a real weaselly way of blackmailing your employees into staying put. Why would any coach agree to that?
 
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I don't think there's a strong argument to be made for trade secrets when it comes to coaching. They've been happy in the past to let Bellamy's assistant coaches go on to head coaching roles at rival clubs, iirc in some cases that was mid-contract. It's hard to claim the assistant coaches were kept in the dark as to the special sauce that makes Melbourne great (Cam Smith and rampant cheating) so it'd be pretty obvious it's just a figleaf for trying to stop an employee leaving when the club wants to keep them.
 
I don't think there's a strong argument to be made for trade secrets when it comes to coaching. They've been happy in the past to let Bellamy's assistant coaches go on to head coaching roles at rival clubs, iirc in some cases that was mid-contract. It's hard to claim the assistant coaches were kept in the dark as to the special sauce that makes Melbourne great (Cam Smith and rampant cheating) so it'd be pretty obvious it's just a figleaf for trying to stop an employee leaving when the club wants to keep them.
The players, too. Macca leaked Seibold's killer trade secrets with Newcastle, and now he's off to St George with a manilla folder stuffed with Kevvie's plays. Look at all the great info we got on the Storm from Croft.
 
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Commercially good luck claiming trade secrets etc. This kind of role requires deep and in depth business knowledge of running a club. Its plain and simply part of the position. To argue trade secret or IP is a joke as CEO would never have a job again if that was the case. IP is of course an issue, but IP can only be infringed if or when used...and i doubt the Broncos would be changing their colours to purple or name Broncos tornados.
 
Non-disclosure agreement would be better for that I'd imagine... and likely already exists as part of him leaving
Correct, this would be the maximum extent. You also cant pre claim or pre empt someone for breaching NDA. To do so would be pushing a very thin line of defamation and slander. Melbourne have to be very careful how they approach this so called legal matter. The sheer fact Tripp has fired off shots already is also almost slanderous, especially if DD hasnt done anything wrong, the broncos would almost have a defam/slander case as well.
 
It's almost like the Storm are using it to wage a media campaign against the Broncos and delay/disrupt our transition to our new CEO. Sometimes things don't need to hold up in court to be effective.
 
That's what I said here:

The Storm will still push on the issue of trade secrets.
Yes they likely will, but first of all, the burden is on them to prove it, and second the trade secret issue doesn't prevent him from working for another club; it simply defines some things he can't divulge while there.
So Storm don't have a leg to stand on IMO
 
Just get ready to enjoy the changing of the tide when it happens, because they’re not going to dominate us forever..
Agree but what concerns me is how much longer they might still dominate us.
To be frank don't see it ending anytime soon. :(
 
How this would usually play out in a commercial/court setting is that the party holding the benefit of the non-compete clause would seek an interim injunction to restrain the other party acting in breach of the contract.

So it could come to a very sudden ending if the court hearing that application rules that the clause is unenforceable in reliance on some of the authorities that john1420 referred to.

It looks like a whole lot of empty sabre rattling to me.
 
So basically this is a game of legal chicken. Who blinks first?
 
Fucking NSWRL is a joke of an administration.

I know they're completely inept, but why would the NRL stand on the sidelines and allow one of their top administrators be held up by a bogus non-compete clause.

And if you believe the rumours Bellmay also has a non-compete clause... so I guess the NRL would be happy to sit idly by and allow their best coach to sit on the sidelines.

They should call up the storm and tell them to cut the crap and finalise a settlement... like the Broncos have been trying to do since December... and now he's completely off contract
 

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