Araci v Fallon

Araci v Fallon

The defendant was in clear breach of a negative covenant not to ride a rival horse. Damages would not be an adequate remedy due to the speculative and complex nature of assessing loss and the risk of non-payment. There were no special circumstances justifying refusal of an injunction. The claimant was entitled to an interim injunction restraining the defendant from riding a rival horse in the Derby.

Parties
Claimant: Vefa Ibrahim Araci; Defendant: Kieren Fallon
Jurisdiction
England and Wales
Judgment Date
04 June 2011
Procedural Posture
Civil Appeal / Interlocutory Injunction Appeal
Outcome
appeal allowed
Legal Topics
Negative Covenants, Injunctions, Adequacy of Damages, Discretionary Remedies, Restraint of Trade
Contract Law Equity Negative Covenants Injunctions Adequacy of Damages Discretionary Remedies Restraint of Trade

Case Brief

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Parties

Vefa Ibrahim Araci

Claimant

Kieren Fallon

Defendant

Procedural Posture

Civil Appeal / Interlocutory Injunction Appeal

Legal Issues

  1. 1 Whether an interim injunction should be granted to restrain the defendant from riding a rival horse in breach of a negative covenant
  2. 2 Whether damages would be an adequate remedy for breach of contract
  3. 3 Whether the court should exercise its discretion to refuse injunctive relief despite a clear breach

Ratio Decidendi

The defendant was in clear breach of a negative covenant not to ride a rival horse. Damages would not be an adequate remedy due to the speculative and complex nature of assessing loss and the risk of non-payment. There were no special circumstances justifying refusal of an injunction. The claimant was entitled to an interim injunction restraining the defendant from riding a rival horse in the Derby.

Court Disposition

appeal allowed

Orders

  • Interim injunction granted restraining the defendant from riding any horse other than Native Khan in the Epsom Derby on 4 June 2011