Sectorguard Plc v Dienne Plc

Sectorguard Plc v Dienne Plc

The committal application for breach of Undertaking 5 was struck out as an abuse of process because the undertaking was impossible to perform, the application had no real prospect of success, and evidence indicated it was pursued for illegitimate motives rather than genuine enforcement. Release from Undertaking 5 was granted due to impossibility of performance.

Parties
Claimant: Sectorguard PLC (now Legion Group PLC); Defendant: Dienne PLC; Claimant (second Claim) / Defendant (first Claim): John Hare; Defendant (second Claim): Mark Higgins; Defendant (second Claim): Charles Cleverly
Jurisdiction
England and Wales
Judgment Date
03 November 2009
Procedural Posture
Civil / Interlocutory Applications (strike Out, Release, Adjournment)
Outcome
Committal application struck out as abuse of process; release from Undertaking 5 granted; permission application adjourned for completion of evidence.
Legal Topics
Breach of Undertaking, Misuse of Confidential Information, Abuse of Process, Impossibility of Performance, Committal Proceedings
Civil Procedure Equity Contempt of Court Breach of Undertaking Misuse of Confidential Information Abuse of Process Impossibility of Performance Committal Proceedings

Case Brief

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Parties

Sectorguard PLC (now Legion Group PLC)

Claimant

Dienne PLC

Defendant

John Hare

Claimant (second Claim) / Defendant (first Claim)

Mark Higgins

Defendant (second Claim)

Charles Cleverly

Defendant (second Claim)

Procedural Posture

Civil / Interlocutory Applications (strike Out, Release, Adjournment)

Legal Issues

  1. 1 Whether committal application for contempt should be struck out for lack of reasonable grounds or abuse of process
  2. 2 Whether release from undertaking is justified due to impossibility of performance
  3. 3 Whether adjournment of permission application is warranted to allow response to allegations of improper motive and misuse of privileged information

Ratio Decidendi

The committal application for breach of Undertaking 5 was struck out as an abuse of process because the undertaking was impossible to perform, the application had no real prospect of success, and evidence indicated it was pursued for illegitimate motives rather than genuine enforcement. Release from Undertaking 5 was granted due to impossibility of performance.

Court Disposition

Committal application struck out as abuse of process; release from Undertaking 5 granted; permission application adjourned for completion of evidence.

Orders

  • Paragraph 1 of Sectorguard’s Notice of Application dated 18th May 2009 struck out as abuse of process.
  • Undertaking 5 released in relation to obligation to identify customers contacted.