Visage Ltd & Anor v Mehan & Ors

Visage Ltd & Anor v Mehan & Ors

The Claimants established a strong prima facie case of breach of contract and fiduciary duty by the Respondents, including setting up a competing business and misusing confidential information. The restrictive covenants are not plainly unenforceable and should be enforced pending trial. The Claimants would not be adequately compensated by damages, and the balance of convenience favours granting injunctive relief and springboard relief to prevent further unfair advantage. The disclosure orders sought are not justified as exceptional circumstances are not established.

Parties
Claimant/applicant: Visage Limited; Claimant/applicant: GSCM (UK) Limited; Defendant/respondent: Ms Anita Mehan; Defendant/respondent: Ms Rita Abrol; Defendant/respondent: Ms Tina Khosla; Defendant/respondent: Mr Manoj Vadhera; Defendant: Mr Sanjeev Mehan
Jurisdiction
England and Wales
Judgment Date
03 November 2017
Procedural Posture
Interim Application in Civil Employment/commercial Dispute / Interlocutory Application for Injunctive Relief and Ancillary Orders
Outcome
Interim injunctions granted in respect of restrictive covenants and springboard relief; applications for ancillary disclosure orders refused; costs of the hearing on 23rd October 2017 awarded to the First Defendant; all other costs reserved.
Legal Topics
Restrictive Covenants, Springboard Injunctions, Breach of Fiduciary Duty, Confidential Information, Interim Relief, Disclosure Orders
Employment Law Commercial Law Restrictive Covenants Springboard Injunctions Breach of Fiduciary Duty Confidential Information Interim Relief Disclosure Orders

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Parties

Visage Limited

Claimant/applicant

GSCM (UK) Limited

Claimant/applicant

Ms Anita Mehan

Defendant/respondent

Ms Rita Abrol

Defendant/respondent

Ms Tina Khosla

Defendant/respondent

Mr Manoj Vadhera

Defendant/respondent

Mr Sanjeev Mehan

Defendant

Procedural Posture

Interim Application in Civil Employment/commercial Dispute / Interlocutory Application for Injunctive Relief and Ancillary Orders

Legal Issues

  1. 1 Whether interim injunctive relief should be granted to enforce restrictive covenants against former employees
  2. 2 Whether springboard relief is justified to prevent unfair competitive advantage
  3. 3 Whether ancillary disclosure orders should be made against the Respondents

Ratio Decidendi

The Claimants established a strong prima facie case of breach of contract and fiduciary duty by the Respondents, including setting up a competing business and misusing confidential information. The restrictive covenants are not plainly unenforceable and should be enforced pending trial. The Claimants would not be adequately compensated by damages, and the balance of convenience favours granting injunctive relief and springboard relief to prevent further unfair advantage. The disclosure orders sought are not justified as exceptional circumstances are not established.

Court Disposition

Interim injunctions granted in respect of restrictive covenants and springboard relief; applications for ancillary disclosure orders refused; costs of the hearing on 23rd October 2017 awarded to the First Defendant; all other costs reserved.

Orders

  • Injunctive relief granted enforcing restrictive covenants against the Second to Fourth Respondents in the form sought by the Claimants until trial or further order.
  • Springboard relief granted against the Second to Fourth Respondents until trial or further order.