Plaintiff
Defendant
Background: The plaintiff claimed the defendants, former franchisees, breached the Restrictive Covenant by operating a competing restaurant within a five-kilometer radius of an OPA! of Greece location. OPA! Souvlaki Franchise Group Inc. sought an injunction to enforce the covenant, which was designed to protect its trade secrets and business interests.
Legal Framework: The court applied the three-stage RJR-MacDonald test for injunctive relief, which included assessing whether there was a serious question to be tried, determining if the plaintiff would suffer irreparable harm if the injunction was not granted, and considering the balance of convenience between the parties.
Analysis: The court found that the plaintiff had established a strong prima facie case of breach of the Restrictive Covenant. It was determined that the plaintiff would suffer irreparable harm through potential loss of franchise system integrity and customer loyalty. The balance of convenience favored the plaintiff, as monetary damages would not adequately remedy the harm suffered.
Conclusion: The court granted the injunction, prohibiting the defendants and 139 (a related company) from operating the competing business until November 1, 2024. The plaintiff, OPA! Souvlaki Franchise Group Inc., was awarded the costs of the application. The specific amount of costs awarded to the plaintiff was not detailed in the judgment.
Court
Supreme Court of British ColumbiaCase Number
S-244550Practice Area
Corporate & commercial lawAmount
Winner
PlaintiffTrial Start Date
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