The Labour Court in Johannesburg has barred a former manager from working with a competing coffin and casket business after finding he breached a restraint of trade agreement by helping establish a rival company that targeted his former employer's customers.

Acting Judge Sean Snyman ruled in favour of GNG Marketing and Distribution CC, finding that former employee Frederik De Beer had infringed the company's protectable business interests by becoming involved with DB Caskets and Domes (Pty) Ltd, a business started by his sons shortly before his retirement.

According to IoL, the dispute arose after De Beer retired at the end of February 2026 following nearly 18 years with the company, where he managed its Polokwane depot.

During his employment he had signed a restraint of trade agreement preventing him from competing with the business, soliciting its customers or disclosing confidential information for two years after leaving the company.

GNG Marketing approached the Labour Court on an urgent basis, alleging De Beer had begun helping establish a competing casket business, was using his extensive customer relationships developed over almost two decades, and had access to confidential business information that could benefit the new enterprise.

GNG Marketing said several clients reported De Beer had mentioned plans to start his own venture in the funeral industry upon retirement.

Forensic IT investigations conducted after his departure revealed that before leaving the company, in December 2025, De Beer emailed a comprehensive spreadsheet containing 18 years of monthly sales data, banking records, and client particulars from his corporate email to his personal account.

He deleted these emails from both his sent and deleted folders in an apparent attempt to cover his tracks.

The court examined De Beer's role in the newly established DB Caskets business and concluded that, despite his denials, evidence demonstrated his active involvement.

Snyman noted DB Caskets was registered from De Beer's home address, operated from premises he provided and promoted itself online by advertising ‘over 18 years of experience in the funeral industry’ – experience that could only refer to De Beer rather than his sons.

According to IoL, the court considered photographs showing De Beer at a funeral industry expo manning the DB Caskets exhibition stand and interacting with customers.

Snyman concluded GNG Marketing had established protectable interests in both its confidential information and customer relationships.

The court found there was a real risk De Beer's longstanding relationships with customers and detailed knowledge of the business could unfairly advantage the competing enterprise.

However, the court found the original restraint was broader than necessary. Instead of enforcing the full two-year nationwide restriction contained in the agreement, Snyman reduced its scope, holding that a more limited restraint would adequately protect the employer's interests while allowing De Beer greater freedom to earn a living.

The court ordered De Beer be restrained for one year from February 2026 from engaging, directly or indirectly, in the manufacture or sale of coffins, caskets and domes within Limpopo and Botswana.

He was also prohibited from soliciting GNG Marketing's customers, assisting others to do so, or disclosing the company's confidential information to any third party, including DB Caskets.

Snyman ordered De Beer to pay GNG Marketing's legal costs.

Full IoL report

Judgment