Wright Tanks Ltd v Irwin (Costs)

In a recent ERA decision, Wright Tanks Limited took legal action against former employee Josh Irwin for breaching the non-competition provisions of his employment agreement. The Authority found that Irwin had inde

ed breached the terms of his agreement, and modified the non-competition provisions from a three-year period to one year.

In a subsequent determination, the Authority found Irwin liable for payment of damages to Wright Tanks in relation to five instances where he had undertaken work in breach of the modified non-competition provisions of his employment agreement. Additionally, Irwin was found liable for damages in one other case where he disputed the modified non-competition provisions applied.

Despite these successes, Wright Tanks was unable to establish that Irwin should be found liable for damages in relation to several other cases. In total, Wright Tanks was awarded $43,351.07 of the $231,055.28 in damages that it had sought. A penalty was also imposed on Irwin for obstructing the Authority’s investigation.

Both parties had some degree of success in the matter, and costs were reserved with the parties encouraged to resolve the matter between themselves. However, as they were unable to do so, Wright Tanks, as the successful party, sought a contribution towards its costs. The Authority granted leave to apply for costs and found that, despite the minor delay in applying for costs, Wright Tanks was entitled to a contribution towards its costs, and Irwin was liable to pay them.

It is important to note that Wright Tank’s limited success in the case could not have been achieved without filing a case in the Authority. The Authority took into consideration the fact that both parties had some degree of success and looked at the matter in its entirety, ultimately awarding costs to Wright Tanks.