Plaintiff
Defendant
Background:
Dentalcorp Health Services Ltd. ("Dentalcorp") acquired five dental practices from Dr. J.S. Minhas Dental Corporation ("Dr. Minhas") for approximately $11 million. The sale included restrictive covenants preventing Dr. Minhas from competing or soliciting within defined areas.
Legal Issues:
Dentalcorp argued that Dr. Minhas breached non-competition and non-solicitation agreements by engaging in business activities that competed with their interests, including the development of new clinics within the restricted territory and using confidential information to benefit competing entities. Dentalcorp sought an interlocutory injunction to enforce these covenants.
Dr. Minhas contended that the restrictive covenants were unenforceable or overly restrictive, asserting that his role was more aligned with employment than a business sale and thus should be assessed under less stringent standards.
Court’s Analysis:
The court applied commercial standards, holding that these covenants were part of a business sale rather than an employment contract. It found a strong prima facie case of breach by Dr. Minhas, noting activities within restricted zones and potential misuse of confidential information.
Decision and Award:
The court granted the interlocutory injunction in favor of Dentalcorp, prohibiting Dr. Minhas from further competitive actions pending trial. The awarded amount or costs specifics for Dentalcorp were not indicated within the judgment, as the decision primarily addressed the injunction.
Court
Supreme Court of British ColumbiaCase Number
S244260Practice Area
Corporate & commercial lawAmount
Winner
PlaintiffTrial Start Date
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