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Clause and effect in Meakin deal with TEN

Peter Meakin has reportedly asked Seven to release him from a non-compete clause so he can start with TEN.

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2013-08-16_1439Stop me if this starts to sound familiar.

After the announcement of Peter Meakin joining Network TEN last week as Executive Director of News and Current Affairs, stories have been emerging that a few clauses may get in the way first.

The Australian Financial Review reports Meakin has asked Seven to release him from a non-compete clause that was in his contract. It is said to be in effect for a 12 month period, although it’s not clear if it started from the beginning of July. Either way it’s problematic.

TEN’s lawyers have written to Seven to ask for the relevant clauses in Meakin’s contract but, as the Rear Window column eloquently put it, “were told they already had them … in the Warburton file.”

TEN declined to comment says AFR…

6 Responses

  2. The courts will only uphold them if the person has been paid well enough that it is reasonable for someone not to be able to work for a competitor, taking knowledge with them. Otherwise it constitutes an unreasonable restraint of trade.

    Meakin agreed to the term in the contract in exchange for a lot of money and should have told Ten that he wasn’t available to start work for 12 months.

  3. @camo2 – It’s a big problem. Its a standard clause to prevent staff running off to a competitor straight away, taking all of their secrets and plans. It’s common in any management contract. “Cannot work for any other within, say, 12 months of leaving us”. Rest assured, TEN will have one in their contract.
    It’s unlikely he would be “doing something from a distance in the shadows”. The penalty for being caught would be enormous.

  5. cant see a problem, if TEN dopnt insist in one being put in the new contract… so he is free to go back to another network then why not 7 let him go…. im sure he could be doing something from a distance in the shadows

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