Background:

• Parkland Corporation supplies fuel to gas stations, including Pioneer stations.
• In 2018, Parkland and the Dealer entered into an exclusive supply agreement for ten years, extendable for five more years.
• The Dealer began selling fuel from another supplier on May 7, 2024, violating the agreement.

Court Decision:

• Injunction Granted: Parkland's request for an interlocutory injunction was approved.
• Test for Injunction:
  • Serious Issue: Parkland's case is substantial and not frivolous.
  • Irreparable Harm: Breach of the exclusive supply agreement presumes irreparable harm.
  • Balance of Convenience: Favors Parkland as enforcing the contract causes less harm to the Dealer than non-enforcement would to Parkland.

Key Findings:

• Parkland showed a strong prima facie case of the Dealer's breach by selling non-Parkland fuel.
• Alleged oral agreements to change commission rates were unsupported by evidence.
• Dealer's financial troubles and lack of independent legal advice were irrelevant to the breach.
• Parkland would suffer significant harm, including loss of control and reputational damage, without the injunction.

Costs:

• Costs of the motion are reserved to be decided at trial.

Conclusion: The injunction preserves Parkland’s contractual rights and business interests pending the final application determination.