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Credit Matters CC v Debt Experts and Others (14772/2015) [2016] ZAWCHC 28

Credit Matters CC v Debt Experts and Others (14772/2015) [2016] ZAWCHC 28

24th March 2016

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The applicant in this matter seeks to enforce restraint of trade agreements it has concluded with certain former employees. It cited The Debt Experts CC, the present employer of those employees, as the first respondent but seeks no relief against it. Initially, ten former employees were cited as respondents but by the time the matter came to be heard the applicant sought relief only against four of them. These are the third, fourth, fifth and ninth respondents.

The restraint of trade clause in each of the relevant employment agreements reads as follows: “You hereby undertake that, for a period of two (2) years after you leave the employer (sic) of the Company, and anywhere in the region of South Africa, you will not engage, directly or indirectly, in any activity or obtain employment with any firm that competes in any way with the activities pursued by the Company.” Although the agreement refers to the applicant as a company it was accepted by all parties that what was intended was a reference to a close corporation.

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