In early April, the New South Wales Supreme Court heard the matter of Seven Network (Operations) Ltd v Melanie Brown [2013] NSWSC 372 involving a contractual dispute between former Spice Girl Mel B (aka Scary Spice) and two of Australia's rival free to air television networks.

The "exclusive television services" of Mel B were subject to an agreement between the artist, her management company (controlled by her husband) and the Seven Network. The agreement included a clear restraint of trade clause which identified that Mel B's television services in Australia would be exclusive to the Seven Network. The agreement also provided the Seven Network with the option to extend the agreement for a further twelve month period.

Complications arose when the management company identified that there were issues in obtaining visas for Mel B's children (primarily due to not being about to obtain paternal consent from the childrens' fathers) and concerns about the amount of time that Mel B would be required to spend in Australia in order to fulfil her commitments under the agreement. While the Seven Network were attempting to find a way to work around these issues, including filming segments of the X Factor (a reality television program) in Los Angeles, Mel B's management company was in discussions with the Nine Network about Mel B taking up a role in a show on their network. They entered an agreement to this effect on 14 March 2013.

The main issues at trial were whether the Seven Network had exercised their option to extend the agreement (subject to some amendments) and, if this was the case, whether the agreement had subsequently been terminated. An argument that the restraint of trade was void on public policy reasons was run at trial however Justice Hammerschlag found this argument to be "untenable".

His Honour's view on this argument was based on his assessment that the restraint was merely a "negative promise not to provide services to its [the Seven Network's] competitor, which promise is part of a fair and freely negotiated bargain made recently", that Mel B would not be prohibited from working in Australia more generally, for example in radio or providing product endorsements, and that the Seven Network would still be required to pay the agreed fees.

The evidence presented at trial included a number of emails between employees of the Seven Network and the management company as well as witness testimony of conversations between the two parties. Ultimately his Honour preferred the Seven Network's evidence and found that they had exercised their option to extend the agreement and that there was no evidence of an agreement to terminate or an abandonment of the agreement. Final injunctive relief was granted to the Seven Network.

The Nine Network had provided Mel B and her management company with an indemnity against costs arising out of the claim brought by the Seven Network and consequently will bear the expense of this litigation. Interestingly, they have now contracted Mel B's former band mate, Geri Halliwell (aka Ginger Spice) to fill the role on their show.

It must at least be reassuring to the Nine Network to know that Australian courts will hold Spice Girls to the bargains they strike.

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