Superannuation v Turner [2020] NSWCA 246

“I don’t have to do what the deed I signed says. It’s unjust!”

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An accountant resigned after suffering bullying and harassment: [14]

A dispute arose after the former employer made an aggressive threat about the accountant’s conduct, including threatening criminal prosecution: [23]

The parties settled their dispute in a wide-ranging deed.

At the time the deed was signed the accountant said he was “completely worn out, stressed and distressed by” the former employer’s behaviour: [26]

He did not obtain legal advice: [29]

The deed required the accountant to pay the former employer 100% of fees he charged to any the clients whose details he had taken, 50% of that in advance: [37] - [41]

Payment of his employment entitlements, and the release, relied on these payments being made: [42], [43]

The accountant did not pay. The former employer sued.

At first instance, the deed was found to be unjust pursuant to s7 of the Contracts Review Act 1980 (NSW) as the employee argued the deed was procedurally unjust (i.e. the difficult circumstances in which it was entered into) and substantively unjust (i.e. in its terms, such as withholding statutory entitlements or potentially 100% of any fee): [45]

The former employer appealed, and failed: [1], [149], [150]