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Just Group loses legal battle with ex-CFO

AAP logoAAP 17/10/2016 Caitlin Guilfoyle

Clothing giant Just Group has lost a legal stoush against a former senior executive who resigned from the retailer to work for competitor Cotton On.

Nicole Peck began working as Just Group's chief financial officer in January and handed in her resignation in May.

Shortly before she finished up, she told Just Group she planned to work for Cotton On from early June.

Just Group, which includes brands such as Just Jeans, Jay Jays, Dotti and Smiggle, sought an injunction from the Victorian Supreme Court that would stop Ms Peck working for their rival.

Ms Peck's Just Group contract included a post-employment restraint clause that barred her from working for 50 different companies for up to 24 months, according to court documents.

Cotton On was among the companies listed, along with Myer, Big W, Kmart, Target, Forever New, Bardot and Country Road.

But Justice Michael McDonald dismissed the retailer's case on Monday, saying the restraints on Ms Peck were not reasonable or enforceable.

Just Group is now considering an appeal.

""This is a case between Just Group and Cotton On," a company statement said.

"We respect Justice McDonald's decision, but obviously we are considering all of our legal options, including an appeal and a stay."

Ms Peck can start working for Cotton On next Monday.

Just Group has been ordered to pay her legal costs.

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