Buckenara v Hawthorn Football Club [1988]: Restraint of Trade

Buckenara v Hawthorn Football Club

Buckenara v Hawthorn Football Club Ltd [1988] is a significant decision from the Supreme Court of Victoria. It concerned contractual obligations in professional sports.

Ratio Decidendi: While specific performance cannot generally be compelled for a personal services contract, injunctive relief can be appropriate to enforce negative covenants in such contracts.

Case Name & Citation: Buckenara v Hawthorn Football Club Ltd [1988] VicRp 5; [1988] VR 39
Court: Supreme Court of Victoria
Judge: Crockett J
Date: 13 March 1987
Areas of Law: Contract Law, Sports Law, Employment Law (Contracts for Personal Services), Injunction, Restraint of Trade

Key Facts – Buckenara v Hawthorn Football Club

Gary Buckenara, a professional footballer from Western Australia, entered into a contract with the Hawthorn Football Club to play in the VFL (Victorian Football League). In 1984, he signed a contract for two years (1985–86), which included a renewal option clause allowing Hawthorn to extend the contract for an additional two years (1987–88).

Hawthorn exercised the option clause to retain his services for 1987–88.

Later, Buckenara wished to return to Perth, partly for personal and family reasons and also due to interest from a new Perth-based VFL team, the West Coast Eagles, which offered him attractive financial incentives.

Buckenara argued that the option was not enforceable. There was a collateral oral agreement that the option would not be binding if he wished to return to Perth. The clause was unreasonable restraint of trade.

Hawthorn sought for an injunction to stop Buckenara from playing for any other VFL team.

Legal Issue

Should the injunction be granted?

Court’s Judgment (Buckenara v Hawthorn Football Club)

The Court rejected Buckenara’s claim of an oral agreement exempting him from the option clause.

The Court held that the option clause was not unreasonable. The restrictions applied only during the term of the contract and did not prevent Buckenara from seeking employment elsewhere or playing outside the VFL.

Though the court could not force him to play for Hawthorn (specific performance), it held that preventing him from playing for any other VFL club during the contract term was a legitimate way to protect the club’s interests.

Order

The contract couldn’t be enforced for specific performance (being of personal service).

The Court granted an injunction restraining Buckenara from playing for any other VFL club in 1987 and 1988. The injunction did not bar him from playing elsewhere (e.g., WAFL), and the Club was required to permit a transfer outside the VFL if requested.

Refer to the full text of the case here:    

https://www.austlii.edu.au/cgi-bin/viewdoc/au/cases/vic/VicRp/1988/5.html


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