In a NSW Supreme Court hearing, Channel Seven's commercial director Bruce McWilliam disclosed CEO David Leckie told him he sent James Warburton on "gardening leave" but did not imply an immediate employment termination.

Warburton, Seven's chief sales and digital officer, claimed that Seven terminated his employment upon knowing he is to become a new CEO of a rival company, Channel Ten.

Channel Seven is trying to delay Warburton from taking the new title with Channel Ten until October next year but the latter wants him to start July this year.

McWilliam declared in an affidavit presented in the court that he had high regard for Warburton and had a conversation with him on March 2 when he resigned from his post at Channel Seven. On the other hand, Executive Kerry Stokes, seems clueless of Warburton's transfer to Channel Ten when he did not even ask the reason why behind Warburton's resignation.

Warburton's barrister, John West QC, explained, "The problem was that Stokes wanted him to stay but Leckie was in the way, and Leckie, was not prepared to recognise that there was a successor not only waiting in the wings but standing outside his door." With this, Warburton believed there would be "whiteanting" by Leckie and he would never get the top job.

In an affidavit tendered in court, McWilliam said he asked Leckie, ''Did you tell James that he had to leave the office?''

Leckie is said to have replied, "Ofcourse! I did not want him mixing with staff and being around whatever deals are done, it is untenable,'' .

McWiliam added ''But you didn't imply he was terminated did you?''

"Ofcourse not. I am not stupid. I said to him you have to go on gardening leave or whatever it is called,'' Leckie is said to have answered.

Justice Michael Pembroke continues to hear the dispute between Channel Seven and Channel Ten.

Channel Seven argued that Warburton has knowledge of sensitive financial information which includes the company's budget, sales targets and other information about the ongoing negotiations on the AFL television rights.