Hong Kong Case Law: Decisions & Judgments

Topic

Non-competition clause

Legal area

Court

25 Aug 2025

JC SUCCESS LTD v. CHEUNG THEOBALD AYLWIN AND OTHERS

Citation

[2025] HKCFI 3837
Court

Court of First Instance
Case number

HCMP595/2022

Petitioner failed to prove unfairly prejudicial conduct. Key pleaded bases were abandoned or demurrable (quasi‑partnership; mere expectation of an 8‑year operation). Non-renewal of the tenancy was a commercially reasonable decision in light of a complete breakdown of trust, the indispensable role of the manager, and COVID uncertainty; primary facts of conspiracy or involvement in successor entities were not established; payments/loans were recorded, disclosed and supported by loan documents or a prepayment/dividend arrangement; petitioner materially contributed to the inability to declare for…
21 Feb 2025

EST-OUEST AUCTIONS CO LTD AND ANOTHER v. NEW ART EST-OUEST AUCTIONS COMPANY LTD formerly known as NEW ART EST-OUEST AUCTIONS COMPANY LTD

Citation

[2025] HKCFI 782
Court

Court of First Instance
Case number

HCIP45/2023

The court exercised its discretion to refuse variation of the Nisi Order: the Defendant is not entitled to indemnity costs because Clause 14.1 does not bind the Defendant company; the Defendant's partial failure on Core Issue 3 justifies a 20% discount to its costs entitlement; the 80% order stands and includes the costs of the Injunction Summons; both variation summonses are dismissed with no costs ordered.
30 Sept 2024

EST-OUEST AUCTIONS CO LTD AND ANOTHER v. NEW ART EST-OUEST AUCTIONS COMPANY LTD formerly known as NEW ART EST-OUEST AUCTIONS COMPANY LTD

Citation

[2024] HKCFI 2619
Court

Court of First Instance
Case number

HCIP45/2023

The court found on the evidence that the Hong Kong goodwill attached to the Est-Ouest brand emanated from EOJP (Japan) because promotional material and conduct connected the Hong Kong business to EOJP; Seki's subsequent registration of the Marks was objectively made in circumstances amounting to bad faith and would deceive or be contrary to passing-off, and the registration is therefore invalidated under the Trade Marks Ordinance; there was no binding agreement transferring EOHK shares because the Basic Agreement expressly provided no binding sale and subsequent objective negotiations did not…
30 Sept 2021

BFAM PARTNERS (HONG KONG) LTD v. GARETH JOHN MILLS AND ANOTHER

Citation

[2021] HKCFI 2904
Court

Court of First Instance
Case number

HCA1128/2021

On the affidavit evidence the plaintiff demonstrated better prospects of success that the NCC legitimately protects identifiable confidential information and is reasonable in scope (6 months, Hong Kong), the balance of convenience favoured granting an injunction to prevent irremediable prejudice, and therefore an interlocutory injunction was granted; costs: plaintiff's costs in the cause against 1st defendant and 15% of inter partes summons costs payable by 2nd defendant to plaintiff (remaining 85% to plaintiff in the cause).
28 Apr 2009

CHESAPEAKE ASIA-PACIFIC LTD v. NIRVANA (ASIA) LTD AND OTHERS

Citation

CHESAPEAKE ASIA-PACIFIC LTD v. NIRVANA (ASIA) LTD AND OTHERS
Court

District Court
Case number

DCCJ2941/2006

The non-competition clause was wider than necessary because it contained no temporal limit and therefore constituted an unreasonable restraint of trade that the court could not sever or rewrite; as that clause was invalid, claims dependent on it (inducing breach, unlawful interference, conspiracy) failed. Additionally, evidence was insufficient to establish that the 2nd Defendant knowingly induced breach or acted as agent for the 1st Defendant, and the PAC Team Group had in fact initiated direct dealings.
23 Nov 2000

MAXMEDIA LTD v. ROBERTO DE VIDO

Citation

MAXMEDIA LTD v. ROBERTO DE VIDO
Court

Court of First Instance
Case number

HCA4233/2000

The O.14A application was dismissed because there were material disputes of fact (including whether restrictive covenants were breached, whether undertakings were given, and whether terms had been varied or waived) which prevented the court from conclusively construing and applying the contract without a full trial.
1 Nov 2000

INTERNATIONAL MEGA CAR SHOW LTD. v. INTERNATIONAL TRADEMART CO. LTD.

Citation

INTERNATIONAL MEGA CAR SHOW LTD. v. INTERNATIONAL TRADEMART CO. LTD.
Court

Court of First Instance
Case number

HCA5934/2000

The Deed of Settlement was valid and binding; there was no credible revised compromise agreement of 1 April 2000; the Licence Agreement was validly made and, on proper construction, did not incorporate the 2nd Lease non-competition clause, right of first refusal, or the B3 option to renew; the Licence was not a tenancy in substance; the Licence was not obtained by economic duress because the Defendant acted within contractual rights; the Plaintiff had no arguable defence to the Defendant's counterclaim and summary judgment for the Defendant and striking out of the Statement of Claim were warr…

Hong Kong Case Law

JC SUCCESS LTD v. CHEUNG THEOBALD AYLWIN AND OTHERS

EST-OUEST AUCTIONS CO LTD AND ANOTHER v. NEW ART EST-OUEST AUCTIONS COMPANY LTD formerly known as NEW ART EST-OUEST AUCTIONS COMPANY LTD

EST-OUEST AUCTIONS CO LTD AND ANOTHER v. NEW ART EST-OUEST AUCTIONS COMPANY LTD formerly known as NEW ART EST-OUEST AUCTIONS COMPANY LTD

BFAM PARTNERS (HONG KONG) LTD v. GARETH JOHN MILLS AND ANOTHER

CHESAPEAKE ASIA-PACIFIC LTD v. NIRVANA (ASIA) LTD AND OTHERS

MAXMEDIA LTD v. ROBERTO DE VIDO

INTERNATIONAL MEGA CAR SHOW LTD. v. INTERNATIONAL TRADEMART CO. LTD.