Just Group is taking its former chief financial officer to court.
The Group, owned by industry powerbroker Solomon Lew, has commenced action against Nicole Peck after she jumped ship to rival Cotton On.
The company is seeking an injunction restraining her from working with Cotton On for 24 months.
Just Group claimed Peck has "highly confidential and commercially sensitive" information on the business.
The case emerged earlier this month after Just Group sought an injuction to block her legal representation.
Just Group alleged Peck had elected lawyers from Ashurst, a firm which has previously acted for Cotton On.
It claimed a "a real and sensible risk of inadvertent disclosure of commercially sensitive and confidential information by Ashurst to Cotton On”.
However, in a judgement passed on July 1, judge Andrew Keogh said Ashurst does not currently act for Cotton On.
"In my view the subpoena clearly represents a fishing expedition, and has no legitimate identifiable forensic purpose."
The matter is due for trial on August 2.