Evrythng Ltd v Gilbert-Rolfe [2023] EWHC 7 (Comm) (06 January 2023)

Evrythng Ltd v Gilbert-Rolfe [2023] EWHC 7 (Comm) (06 January 2023)

The court refused to grant the interim injunction sought to enforce the non-competition covenant. There was a serious issue to be tried as to the enforceability of the ESA covenant and whether it was superseded by the RCA, but the balance of convenience did not favour granting the injunction. The Defendant had...

Source-derived case information.

Citation
[2023] EWHC 7 (Comm)
Parties
Claimant: Evrythng Ltd; Defendant: Cyrus Gilbert-Rolfe
Jurisdiction
England and Wales
Judgment Date
06 January 2023
Procedural Posture
Interim Injunction Application in Employment Dispute / Interlocutory (application for Interim Relief Pending Trial)
Outcome
Interim injunction refused; expedited trial ordered.
Legal Topics
Restrictive Covenants, Non Competition Clauses, Interim Injunctions, Enforceability of Employment Restraints, Confidential Information, Balance of Convenience
Employment Law Contract Law Restrictive Covenants Non Competition Clauses Interim Injunctions Enforceability of Employment Restraints Confidential Information Balance of Convenience

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Parties

Evrythng Ltd

Claimant

Cyrus Gilbert-Rolfe

Defendant

Procedural Posture

Interim Injunction Application in Employment Dispute / Interlocutory (application for Interim Relief Pending Trial)

Legal Issues

  1. 1 Whether the non-competition covenant in the Executive Service Agreement (ESA) is enforceable against the Defendant
  2. 2 Whether the subsequent Restrictive Covenant Agreement (RCA) superseded the ESA covenants
  3. 3 Whether interim injunctive relief should be granted to enforce the non-competition covenant pending trial

Ratio Decidendi

The court refused to grant the interim injunction sought to enforce the non-competition covenant. There was a serious issue to be tried as to the enforceability of the ESA covenant and whether it was superseded by the RCA, but the balance of convenience did not favour granting the injunction. The Defendant had already provided undertakings covering non-solicitation and non-dealing, and enforcement of the non-competition covenant would likely cause him disproportionate financial hardship. Damages would not be an adequate remedy for either party, but the risk of irremediable prejudice to the Defendant outweighed that to the Claimant. The status quo was that the Defendant was already working...

Court Disposition

Interim injunction refused; expedited trial ordered.

Orders

  • Application for interim injunction to enforce non-competition covenant dismissed.
  • Expedited trial ordered.