Sogexia SARL v R Raphael & Sons Plc [2019] EWHC 2577 (Ch) (29 August 2019)

Sogexia SARL v R Raphael & Sons Plc [2019] EWHC 2577 (Ch) (29 August 2019)

There is a serious issue to be tried regarding the applicability of the French regulation; damages would not be an adequate remedy for Sogexia due to reputational and business loss; the balance of convenience favours granting an injunction to restrain Raphael from implementing the termination notice pending final determination or further order.

Citation
[2019] EWHC 2577 (Ch)
Parties
Claimant: Sogexia SARL; Defendant: R Raphael & Sons PLC
Jurisdiction
England and Wales
Judgment Date
29 August 2019
Procedural Posture
Injunction Application (interim Relief) / Interlocutory (application for Interim Injunction Before Trial)
Outcome
Interim injunction granted
Legal Topics
Interim Injunctions, Termination of Contract, Cross Border Regulation, Payment Services, Reputational Damage, Adequacy of Damages
Contract Law Banking Law Injunctions Interim Injunctions Termination of Contract Cross Border Regulation Payment Services Reputational Damage +1 more

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Parties

Sogexia SARL

Claimant

R Raphael & Sons PLC

Defendant

Procedural Posture

Injunction Application (interim Relief) / Interlocutory (application for Interim Injunction Before Trial)

Legal Issues

  1. 1 Whether there is a serious issue to be tried regarding the applicability of the French 'business cap' regulation to the contract between Sogexia and Raphael
  2. 2 Whether damages would be an adequate remedy for Sogexia if the agreement is unlawfully terminated
  3. 3 Where the balance of convenience lies in granting or refusing the injunction

Ratio Decidendi

There is a serious issue to be tried regarding the applicability of the French regulation; damages would not be an adequate remedy for Sogexia due to reputational and business loss; the balance of convenience favours granting an injunction to restrain Raphael from implementing the termination notice pending final determination or further order.

Court Disposition

Interim injunction granted

Orders

  • Raphael is restrained until 14 October 2019 (or further order) from terminating or suspending the agreement pursuant to the termination notice of 26 July 2019.
  • Liberty to Raphael to apply to discharge the injunction if fresh material comes to light.