Evrythng Ltd v Cyrus Gilbert-Rolfe

Evrythng Ltd v Cyrus Gilbert-Rolfe

The court declined to grant an interim non-competition injunction because there were significant doubts as to whether the ESA non-competition covenant continued to apply after the RCA, and whether it was no wider than reasonably necessary. The balance of convenience did not favour granting the injunction, as it would likely cause the Defendant severe financial hardship, and the risk to the Claimant could be mitigated by undertakings and an expedited trial.

Parties
Claimant: Evrythng Ltd; Defendant: Cyrus Gilbert-Rolfe
Jurisdiction
England and Wales
Judgment Date
06 January 2023
Procedural Posture
Interim Application for Injunctive Relief in Employment Dispute / Ruling on Interim Injunction Application
Outcome
Interim non-competition injunction refused; expedited trial ordered; possible injunctive relief to reinforce undertakings.
Legal Topics
Restrictive Covenants, Non Competition Clauses, Interim Injunctions, Enforceability of Post Termination Restraints

Case Brief

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Parties

Evrythng Ltd

Claimant

Cyrus Gilbert-Rolfe

Defendant

Procedural Posture

Interim Application for Injunctive Relief in Employment Dispute / Ruling on Interim Injunction Application

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  2. 2 Whether the ESA covenant was superseded by the Restrictive Covenant Agreement (RCA)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

Ratio Decidendi

The court declined to grant an interim non-competition injunction because there were significant doubts as to whether the ESA non-competition covenant continued to apply after the RCA, and whether it was no wider than reasonably necessary. The balance of convenience did not favour granting the injunction, as it would likely cause the Defendant severe financial hardship, and the risk to the Claimant could be mitigated by undertakings and an expedited trial.

Court Disposition

Interim non-competition injunction refused; expedited trial ordered; possible injunctive relief to reinforce undertakings.

Orders

  • Claimant to serve Particulars of Claim by 6 January 2023
  • Defendant to serve Defence by 17 January 2023