Rafael Advanced Defense Systems Ltd v Mectron Engenharia, Industria E Comercio SA [2017] EWHC 597 (Comm) (27 March 2017)

Rafael Advanced Defense Systems Ltd v Mectron Engenharia, Industria E Comercio SA [2017] EWHC 597 (Comm) (27 March 2017)

There is no serious issue to be tried as to a real risk that Mectron intends, unless restrained by order of the court, to breach its confidentiality and non-disclosure obligations to Rafael. Mectron has consistently and credibly confirmed compliance, and the evidence does not support a real risk of deliberate or inadvertent disclosure. The injunction cannot be maintained.

Citation
[2017] EWHC 597 (Comm)
Parties
Claimant: Rafael Advanced Defense Systems Limited; Defendant: Mectron Engenharia, Industria e Comercio SA; Notified Third Parties: Notified Third Parties
Jurisdiction
England and Wales
Judgment Date
27 March 2017
Procedural Posture
Interim Injunction Application in Commercial Dispute / Application to Continue Without Notice Injunction Pending Arbitration
Outcome
Application to continue the injunction refused; injunction discharged.
Legal Topics
Interim Injunctions, Confidential Information, Non Disclosure Agreements, Quia Timet Relief, Arbitration Act 1996 S.44
Commercial Law Intellectual Property Arbitration Interim Injunctions Confidential Information Non Disclosure Agreements Quia Timet Relief Arbitration Act 1996 S.44

Case Brief

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Parties

Rafael Advanced Defense Systems Limited

Claimant

Mectron Engenharia, Industria e Comercio SA

Defendant

Notified Third Parties

Notified Third Parties

Procedural Posture

Interim Injunction Application in Commercial Dispute / Application to Continue Without Notice Injunction Pending Arbitration

Legal Issues

  1. 1 Whether there is a serious issue to be tried as to a real risk of breach of confidentiality and non-disclosure obligations by Mectron
  2. 2 Whether the interim injunction restraining assignment and use of confidential information should be continued pending arbitration

Ratio Decidendi

There is no serious issue to be tried as to a real risk that Mectron intends, unless restrained by order of the court, to breach its confidentiality and non-disclosure obligations to Rafael. Mectron has consistently and credibly confirmed compliance, and the evidence does not support a real risk of deliberate or inadvertent disclosure. The injunction cannot be maintained.

Court Disposition

Application to continue the injunction refused; injunction discharged.

Orders

  • The without notice injunction granted on 3 March 2017 is not continued and is discharged.