Case Law[2025] ZAGPJHC 1052South Africa
Corporate Business Solutions v Travis and Another (2025-171331) [2025] ZAGPJHC 1052 (20 October 2025)
High Court of South Africa (Gauteng Division, Johannesburg)
20 October 2025
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Corporate Business Solutions v Travis and Another (2025-171331) [2025] ZAGPJHC 1052 (20 October 2025)
Corporate Business Solutions v Travis and Another (2025-171331) [2025] ZAGPJHC 1052 (20 October 2025)
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sino date 20 October 2025
REPUBLIC
OF SOUTH AFRICA
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG LOCAL
DIVISION, JOHANNESBURG
Case number:
2025-171331
(1)
REPORTABLE: YES/
NO
(2)
OF INTEREST TO OTHER JUDGES: YES/
NO
(3)
REVISED:
DATE
20/10/2025
SIGNATURE
In
the matter between:
CORPORATE
BUSINESS SOLUTIONS
Applicant
and
KENTON
BRADLEY TRAVIS
First Respondent
FUSION
GRID TECHNOLOGIES
Second
Respondent
JUDGMENT
Mfenyana J
Introduction
[1]
This is an urgent application in which the
applicant, Corporate Business Solutions (CBS), seeks to interdict and
restrain the first
and second respondents. Concerning the first
respondent (Mr Kenton), CBS requests an order prohibiting him from
directly or indirectly
competing with CBS's business, or having any
interest, whether as an employee, consultant, or director, in any
entity that competes
with CBS within the province of Gauteng.
[2]
With respect to the second respondent (Fusion),
CBS seeks an order interdicting and restraining Fusion from
facilitating Mr Kenton’s
continued employment and from
unlawfully competing with CBS through the use of CBS’s
proprietary and confidential information.
[3]
CBS further seeks an order restraining the
respondents from using or disclosing the applicant's confidential and
proprietary information,
directly or indirectly, including its
customer and product base, pricing structure, marketing strategies,
supplier details (including
each supplier’s hardware and
consumables pricing), and the intricate details and terms of customer
contracts, contact persons,
and trade secrets. CBS also seeks an
order requiring the respondents to return, deliver to the applicant’s
attorney, or destroy
all confidential and proprietary information and
materials belonging to CBS within 48 hours.
[4]
The applicant seeks costs on an attorney and client scale,
only in
the event of opposition.
[5]
The dispute originates from an employment contract
between CBS and Mr Kenton, which began on 2 May 2014 and ended on 7
August 2025.
Mr Kenton was originally hired as a direct salesman and
later promoted to Sales Manager in February 2023. In January 2024, he
became
Corporate Accounts Manager, responsible for CBS’s sales
base and managing corporate clients, including SMH.
[6]
Upon termination of his employment, the first
respondent commenced work with Page Automation, a competitor of CBS.
Applicant’s
case
[7]
The applicant contends that, by taking up
employment with Fusion, Mr Kenton acted in contravention of the
confidentiality and restraint
clause by taking up employment with
Fusion and disclosing CBS’s confidential information, resulting
in CBS losing two customers.
The applicant further alleges that
Fusion used this information to solicit CBS’s existing
customers with the intention of
diverting their business to Fusion or
facilitating such solicitation
.
[8]
CBS further states that, due to his position and
responsibilities while employed there, Mr Kenton gained extensive
knowledge of
CBS’s client base, product offerings, pricing
structure for all products and services, confidential business
contract information
and terms, customer contact details, and trade
secrets that provide CBS with a competitive advantage in their
industry.
Mr Bradley James (Mr
James), the deponent to the founding affidavit, states that, because
of his role in the company, Mr Kenton
became deeply involved in all
aspects of CBS's business, including access to confidential
information not known to the public or
third parties.
[9]
When Mr Kenton joined Page Automation in September
2024, CBS chose not to enforce the restraint provisions at the time.
Mr
James asserts that this decision was due to Mr Kenton's lengthy
service with CBS, and the company did not wish to impose a blanket
ban on his employment. Furthermore, he states that there was no
indication that Mr Kenton misused CBS’s confidential
information
or solicited its customers upon joining Page Automation.
He states that on the contrary, Mr Kenton respected his restraint
obligations,
referring all CBS customers who contacted him back to
CBS as stipulated in his letter of termination. Mr James adds that,
in some
instances, Mr Kenton directly informed CBS of such contacts.
Accordingly, Mr James further avers, Mr Kenton’s employment
with Fusion did not impact CBS’s business due to the
professional manner in which he conducted himself. There was no harm
to CBS’s confidential information, he says.
[10]
According to Mr James, it was on 28 August 2025 that CBS learnt from
its Sales Manager,
Ms Walker, that one of its clients, SMH, had been
referred to Fusion, a newly established entity under the directorship
of Mr Kenton
and two other directors. He avers that this
referral could have only been facilitated by Mr Kenton due to his
intimate knowledge
of CBS’s customers, including the customer
details of SMH. A CIPC search conducted by the applicant indicates
that Fusion
was registered on 6 May 2025.
[11]
On 2 September 2025, so the story goes, CBS
further learnt from one of its technicians, Mr Bhola, that Fusion had
contacted another
CBS client, Efficient Engineering, and had
installed a printer at SMH, with another installation scheduled for
Efficient Engineering.
CBS asserts that these installations were made
possible by Mr Kenton’s involvement with Fusion, as he knew
that the contracts
with these customers were about to expire and also
knew who the relevant contacts at those companies were. In so doing,
he enabled
Fusion to contact the correct people in each of the
companies. The applicant thus claims that this conduct constitutes a
breach
of Mr Kenton's restraint obligations.
[12]
On
the same day, Mr Kenton, through his attorneys,
assured the applicant that he had resigned from Fusion on 30 May
2025. However,
this statement proved to be untrue, as a CIPC search
conducted on 28 July 2025 revealed several changes to his details,
listing
him as Managing Director; the applicant further avers.
[13]
CBS contends that the matter is urgent as it would be prevented from
enforcing the
restraint of trade against Mr Kenton if the matter were
to be heard in the ordinary course, as the restraint period would
have
run its course. CBS further states that its customer
connections with both SMH and Efficient Engineering may have been
lost
to Fusion by then, and the respondents would continue soliciting
the remaining customers of CBS and carry on with the onslaught
against CBS. Thus, it would be too late to prevent Fusion from
using CBS’s confidential information to the detriment
of CBS.
Respondents’
case
[14]
In opposing the application, the respondents contend that the
application is not
urgent in that the applicant has failed to set out
explicitly the circumstances which render the matter urgent and why
it would
not be afforded substantial redress in due course. The
respondents further contend that CBS waived its rights and condoned
Mr Kenton’s employment with Page Automation, by which he
remains employed. The respondents, therefore, state that the relief
sought would have the effect of terminating his employment with Page
Automation.
[15]
The respondents further aver that the application is a year late, as
the alleged
breach occurred when he took up employment with Page
Automation in September 2024, which is also when the urgency arose.
However, since CBS chose not to take any action,
it cannot now claim a breach, the respondents further aver.
[16]
The
respondents further contend that CBS also does not explain the
month’s delay in bringing this application, and as such,
urgency, if any, is self-created. In this regard, the
respondents rely on the decision of this Division in
Mogalakwena
Local Municipality v Provincial Executive Council, Limpopo and
Others
[1]
,
that
‘where an applicant has been dilatory in their approach to the
urgent application, the court should assess factors
extrinsic to the
papers, and any delay by the applicant in asserting its rights can be
deemed to be self-created urgency.’
They say that CBS cannot
approach the urgent court at any time it elects to, simply because
the shoe pinches.
[17]
The respondents dispute the applicant’s assertion that it would
suffer harm
if the matter were not treated as urgent, and contend
that if there was any harm, it is a little too late for CBS to bring
that
up at this stage.
[18]
Finally, the respondents contend that CBS will attain substantial
redress at a hearing
in due course, as it is free to institute a
damages claim, and the commercial interest CBS seeks to protect can
be dealt with in
the ordinary course.
[19]
On the merits, Mr Kenton avers that the restraint is unenforceable
because he was
never compensated for the restraint of trade as
stipulated in the employment contract, a contention denied by CBS. I
understand
the first respondent to be saying that the applicant did
not fulfil its end of the bargain and cannot therefore rely on the
same
provision that it did not comply with. It is necessary to
dispose of this issue forthwith. In disputing this contention, CBS
stated that the restraint compensation had been paid to Mr Kenton as
part of his salary package, in accordance with clauses 4.3
and 4.4 of
the employment contract. In this regard, CBS provided a schedule of
payments made to Mr Kenton from February 2014 to
August 2024. In my
view, this resolves the issue.
[20]
The second point relied on by the respondents is that CBS has waived
any rights it
may have had, as it allowed Mr Kenton to be in the
employ of a competitor.
[21]
In respect of Fusion, the argument is that as a new entrant in the
market, it cannot,
at this stage, be regarded as a competitor.
In addition, the respondents contend that the relief sought against
Fusion cannot
be granted, as it flows from an interdict against Mr
Kenton, who did not provide any confidential information to Fusion,
and therefore
no breach has been committed by either of the
respondents. In this regard, Mr Warryn Mudde (Mr Mudde), a director
of Fusion, avers
that it was not he who facilitated the relationship
between Fusion and SMH. To this end, Mr Mudde provides a letter from
SMH to
the effect that SMH was referred to Fusion by one Mr Wayne
McLaren.
Urgency
[22]
The key
consideration in determining urgency is whether the applicant will be
afforded substantial redress in due course.
[2]
The court in
Mogalakwena,
which
has been relied on by the respondents, held that if an applicant
cannot establish that it would not be afforded substantial
redress in
due course, the application cannot be urgent. Even on the strength of
that decision, once prejudice has been established,
the other factors
to be considered include whether the respondents can adequately
present their case in the available time and
any other prejudice to
the administration of justice, the strength of the applicant’s
case and the delay by the applicant
in asserting his rights.
[23]
I must say that I could not find any reference in
Mogalakwena
to
the effect that factors extrinsic to the issue at hand should be
considered. The factors to be taken into account, as identified
by
the court in that judgment, are in no way extraneous to the papers.
Neither is the observation by the court capable of the interpretation
assigned by the respondents.
[24]
The applicant’s case is that Mr Kenton has breached the
restraint provisions,
and it is prejudiced by this conduct, which
prejudice is ongoing. What is relevant at that stage of the enquiry
is whether the
applicant would suffer any prejudice if its case were
found to have merit. In my view, none of the authorities relied
on
by the respondents in this regard assists the respondents. For the
simple reason that the applicant states categorically that the
conduct of the respondents it seeks to restrain is his latest conduct
and not his employment by Page Automation. The applicant
further
states that the conduct complained of came to their attention on 2
September 2025 and is ongoing.
[25]
Even if the sentiments expressed by the respondents were correct,
there can be no
suggestion that the applicant was dilatory in
approaching the urgent court. Should CBS’s assertions be later
substantiated,
there can be no doubt that it would suffer prejudice
if the matter is heard in the ordinary course. On the contrary, no
apparent
prejudice would be suffered by Mr Kenton, moreso, in view of
his assertion that he has not shared any information belonging to
CBS. The applicant has thus satisfied the requirements for
urgency.
Discussion
[26]
In terms of clause 16 (the confidentiality and
restraint clause) of the employment contract, Mr Kenton agreed that
for 18 months
following the termination of his employment with CBS,
regardless of the reason therefor, he would not, either directly or
indirectly,
compete with CBS's business or hold any interest in a
competing company. This restriction applies specifically to roles as
an employee,
consultant, or director in any entity competing with CBS
in the province of Gauteng.
[27]
The conduct of the respondent is inconsistent with this provision.
The recent allegations by CBS that the respondents
solicited their clients are separate from Mr Kenton’s earlier
conduct in
joining Page Automation, which CBS condoned. The
allegation that in so doing, CBS waived its rights is baseless.
Clause 19
of the employment contract stipulates that any latitude,
extension of time or other indulgence, or failure by CBS to enforce
its
rights in terms of the agreement, shall not be deemed a waiver of
those rights.
[28]
It seems improbable that CBS’s customers
leaving and joining Mr Kenton's business when he founded his own was
just a coincidence.
His version seems to suggest that to be
the case. It is not. It is also not correct that CBS prevented
Mr Kenton from earning
a living, having allowed him to take up
employment with Page Automation and remain so employed to date,
subject to the specific
condition that he refrains from sharing CBS’s
confidential information with third parties.
[29]
On the
strength of
Plascon-
Evans
[3]
,
the disputes of fact between the parties can be resolved on Mr
Kenton’s version, provided that his version is plausible
and
believable. The fact that Mr Kenton denies having shared CBS’s
confidential information is implausible and does not exonerate
him.
His version is ‘far-fetched, clearly untenable and palpably
implausible.’
[30]
I consider
it necessary to deal with the relief sought by CBS against Fusion.
Fusion states that the relief sought is incompetent,
presumably
because there is no contractual relationship between CBS and Fusion.
This contention overlooks that while a restraint
of trade is
primarily an agreement between an employer and an employee, in this
case, CBS and Mr Kenton, the employer can enforce
its rights to
protect its confidential information from being used to its detriment
by a competitor or a third party. In
Rawlins
and Another v Caravantruck (Pty) Ltd
[4]
,
the Supreme Court of Appeal (SCA) held that that an employer’s
right to protect his trade connections arises where an employee
who
“has access to customers and is in a position to build up a
particular relationship with the customers so that when he
leaves the
employers service, he could easily induce the customers to follow him
to a new business.” This is precisely what
Mr Kenton has done,
in alliance with Fusion, a company he formed just for the purpose of
soliciting customers from CBS. The conduct
of both Mr Kenton and
Fusion is unlawful and amounts to a breach of the restraint
provisions in the case of Mr Kenton, and unlawful
use of confidential
information in the case of Fusion.
[31]
There was also the contention that because CBS dismissed Mr Kenton,
the restraint
provisions cannot be enforced. This argument overlooks
that the employment agreement specified that the restraint of trade
provisions
would apply regardless of the reason for termination.
[32]
Laser
Junction (Pty) Ltd v Fick
[5]
relied on by the respondents, is not authority for the proposition
that a restraint of trade cannot be enforced where an employee
has
been promoted. In that judgment, which was concerned with a transfer
of employment in terms of section 197 of the Labour Relations
Act and
whether a restraint of trade had been transferred with the business,
the court noted that the restraint of trade agreement
was specific to
the respondent’s functions as a salesman. As such, the
restraint fell away when the respondent was promoted.
This is not the
only distinguishing feature of that judgment. The second is that the
court accepted the respondent’s version
that he concluded a new
agreement with the applicant, the terms of which included a
confidentiality clause and no restraint of
trade. In addition, the
court stated that in section 197, transfer of employment, contracts
of employment taken over by a new employer
may not include terms
which are unfavourable to the employee. In the present application,
there is no misunderstanding about the
restraint of trade concluded
between Mr Kenton and CBS. If anything, Mr Kenton’s promotion
to a senior position within CBS
exposed him to even more intricate
and confidential information. The only prejudice in those
circumstances would be against
CBS.
[33]
There can be no doubt that the applicant has a clear right and a
legitimate interest,
worthy of protection. In the circumstances, the
applicant has made out a proper case for the relief sought.
[34]
Consequently, I make the following order:
a.
The applicant’s non-compliance with
the rules and directives of the above Honourable Court is condoned,
and this application
is heard as one of urgency in terms of Rule
6(12).
b.
The first respondent is interdicted and
restrained until 8 February 2026, being 18 months from the date of
the termination of the
first respondent’s employment with the
applicant, from:-
i.
directly or indirectly competing with the
business of the applicant; or
ii.
having any interest whatsoever, as an
employee, a consultant, a director of any concern, save for Page
Automation, which competes
with the business of CBS, in the province
of Gauteng.
c.
The second respondent is interdicted and
restrained until 8 February 2026, being 18 months from the date of
the termination of the
first respondent’s employment with the
applicant, from assisting, aiding or abetting the first respondent in
any manner whatsoever,
in breaching the terms of the restraint of
trade agreement, in conflict with the order in paragraph b. above.
d.
The first and second respondents are
interdicted and restrained from directly or indirectly making use of,
or disclosing, the applicant’s
confidential and proprietary
information, including:
i.
the applicant’s customer base;
ii.
the applicant’s product base;
iii.
the intricate and confidential details in
relation to the customer contracts/contact persons, as well as the
terms of such contracts
and the trade secrets of the applicant.
e.
The second respondent is interdicted and
restrained from unlawfully competing with the applicant using the
information and details
referred to in paragraph d. above.
f.
The first and second respondents are
ordered to return, deliver up or destroy all of the information and
materials referred to in
paragraph 4 above and provide confirmation
thereof within 48 (forty-eight) hours to the applicant’s
attorney.
g.
The respondents are ordered to pay the
costs of this application on an attorney and client scale, jointly
and severally, the one
paying the other to be absolved.
S Mfenyana
Judge of the High Court
Johannesburg
Appearances
For
the applicant:
Adv.
I L Posthumus instructed by Sim Attorneys
annikes@simattorneys.co.za
For
the respondent:
Adv. T
Moloi instructed by MAA Incorporated Attorneys
kmotshwane@maa-inc.co.za
tmotshwane@maa-inc.co.za
Date
of hearing:
07
October 2025
Date
of judgment:
20
October 2025
## [1](35248/14)
[2014] ZAGPPHC 400; [2014] 4 All SA 67 (GP) (19 June 2014).
[1]
(35248/14)
[2014] ZAGPPHC 400; [2014] 4 All SA 67 (GP) (19 June 2014).
## [2]East
Rock Trading 7 (Pty) Ltd and Another v Eagle Valley Granite (Pty)
Ltd and Others(11/33767) [2011] ZAGPJHC 196 (23 September 2011).
[2]
East
Rock Trading 7 (Pty) Ltd and Another v Eagle Valley Granite (Pty)
Ltd and Others
(11/33767) [2011] ZAGPJHC 196 (23 September 2011).
[3]
Plascon-
Evans Paints Ltd v Van Riebeeck Paints (Pty) Ltd
[1984] (3) SA 623 (A).
[4]
1993
(1) SA 537 (A).
[5]
(6970/2017)
[2017] ZAKZDHC 36; (2017) 38 ILJ 2675 (KZD) (28 September 2017).
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