International Consulting Services (UK) Ltd v Hart [2000] EWHC 566 (QB) (26 January 2000)

International Consulting Services (UK) Ltd v Hart [2000] EWHC 566 (QB) (26 January 2000)

The restrictive covenant in Mr. Hart's contract was reasonable and enforceable given his senior position and the nature of ICS's business. Mr. Hart breached both his contractual and fiduciary duties by soliciting UTA for his own benefit while still employed. ICS is entitled to an injunction restraining Mr. Hart from dealing with certain customers and an inquiry as to damages or account of profits, subject to further submissions.

Citation
[2000] EWHC 566 (QB)
Parties
Claimant: ICS; Defendant: Mr. Hart
Jurisdiction
England and Wales
Judgment Date
26 January 2000
Procedural Posture
Employment Contract Dispute / Judgment After Trial
Outcome
ICS succeeded in establishing breach of contract and fiduciary duty; restrictive covenant upheld; partial injunction granted; inquiry as to damages or account of profits ordered.
Legal Topics
Breach of Contract, Non Solicitation Covenants, Employee Fiduciary Duties, Injunctions, Account of Profits, Damages
Employment Law Contract Law Restrictive Covenants Breach of Contract Non Solicitation Covenants Employee Fiduciary Duties Injunctions Account of Profits +1 more

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 9 Party arguments 2 Amounts and remedies 5
Sign in to unlock

Parties

ICS

Claimant

Mr. Hart

Defendant

Procedural Posture

Employment Contract Dispute / Judgment After Trial

Legal Issues

  1. 1 Whether the restrictive covenant in Mr. Hart's employment contract is reasonable and enforceable
  2. 2 Whether Mr. Hart breached his contractual and fiduciary duties by soliciting a prospective customer (UTA) while still employed
  3. 3 Whether ICS is entitled to injunctive relief and/or damages or account of profits

Ratio Decidendi

The restrictive covenant in Mr. Hart's contract was reasonable and enforceable given his senior position and the nature of ICS's business. Mr. Hart breached both his contractual and fiduciary duties by soliciting UTA for his own benefit while still employed. ICS is entitled to an injunction restraining Mr. Hart from dealing with certain customers and an inquiry as to damages or account of profits, subject to further submissions.

Court Disposition

ICS succeeded in establishing breach of contract and fiduciary duty; restrictive covenant upheld; partial injunction granted; inquiry as to damages or account of profits ordered.

Orders

  • Injunction restraining Mr. Hart from dealing with VIA, Belgacom, Viag, Plus GSM, and Swisscom for the relevant period.
  • Inquiry as to damages suffered by Mr. Hart due to the injunction, with Mr. Hart entitled to one-half of any proven loss plus interest.