INFO SALONS TECHNOLOGY SERVICES (HK) LTD v. FENG WENGUO AND OTHERS

INFO SALONS TECHNOLOGY SERVICES (HK) LTD v. FENG WENGUO AND OTHERS

The court held there was a serious issue to be tried and the balance of convenience favored granting a limited interlocutory injunction until 7 June 2025 because the evidence did not establish a binding contract between Informa Markets and the Defendants, the restrictive covenants formed part of the contractual...

Source-derived case information.

Citation
[2025] HKCFI 1769
Parties
Plaintiff: Plaintiff; 2nd Defendant: 2nd Defendant; 3rd Defendant: 3rd Defendant
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
25 April 2025
Case Number
HCA654/2025
Procedural Posture
Interlocutory Injunction Application / Expedited Adjourned Hearing (summons Dated 31 March 2025)
Outcome
Interlocutory injunction granted in part until 7 June 2025; costs in the cause.
Legal Topics
Non Compete Covenant, Non Solicitation Covenant, Non Entice Covenant, Balance of Convenience, American Cynamid Test
Source Language
en
Employment Law Contract Law Equity Restraint of Trade Injunctions Non Compete Covenant Non Solicitation Covenant Non Entice Covenant +2 more

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Parties

Plaintiff

Plaintiff

2nd Defendant

2nd Defendant

3rd Defendant

3rd Defendant

Procedural Posture

Interlocutory Injunction Application / Expedited Adjourned Hearing (summons Dated 31 March 2025)

Legal Issues

  1. 1 Whether there is a serious issue to be tried on enforceability and breach of the restrictive covenants
  2. 2 Whether the balance of convenience favors granting an interlocutory injunction
  3. 3 Whether Informa Markets had entered into a binding contract with the 3rd Defendant or 2nd Defendant

Ratio Decidendi

The court held there was a serious issue to be tried and the balance of convenience favored granting a limited interlocutory injunction until 7 June 2025 because the evidence did not establish a binding contract between Informa Markets and the Defendants, the restrictive covenants formed part of the contractual bargain protecting the Plaintiff's legitimate interests, and damages would be difficult to quantify; the Plaintiff gave an undertaking to compensate if the injunction was wrongly granted.

Court Disposition

Interlocutory injunction granted in part until 7 June 2025; costs in the cause.

Orders

  • Interim interlocutory injunction granted in terms of paragraphs 1(a) and 1(c) of the Plaintiff's Summons, expressly including Informa Markets, to last until 7 June 2025
  • Plaintiff to give an undertaking to compensate the Defendants if it transpires the injunction should not have been granted