Jennifer Pocock

The plaintiff, FLS Transportation Services Inc., sought an interim injunction against former employees and their new employer, Charger Logistics Inc., to restrain them from working for a competitor, soliciting clients and employees, and misusing confidential information.

The court applied the three-part test for an interlocutory injunction (serious issue to be tried, irreparable harm, balance of convenience) and also considered the "clean hands" doctrine.

The court found that FLS failed to establish a strong prima facie case for breach of restrictive covenants, breach of confidence, or fiduciary duty, largely due to FLS's own prior statements in other proceedings that the information was not confidential.

Furthermore, FLS failed to demonstrate irreparable harm, and the balance of convenience favoured the defendants.

The motion was dismissed, also noting that FLS's conduct in misrepresenting the court's order to a client constituted a failure to come to court with "clean hands."

The applicant franchisor sought to enforce a restrictive covenant against a former franchisee who continued to operate a similar home medical equipment business at the same location after the franchise agreement expired.

The respondents argued the covenant was unenforceable due to a failure to provide a disclosure document under the Arthur Wishart Act and that the covenant was an unreasonable restraint of trade.

The court found that disclosure was not required because the franchisor was not sufficiently involved in the sale of the franchise.

The court also held that the restrictive covenant was unambiguous, reasonable in its 18-month and 30-mile scope, and protected the franchisor's legitimate business interests.

The application was granted and the respondents were ordered to cease operating the competing business.

A case conference was held to manage the scheduling of the defendants' outstanding motions to strike and for summary judgment, as well as the plaintiffs' proposed cross-motion and summonses to witness.

The court established a timetable for the delivery of affidavits of documents, notices of cross-motion, and the scheduling of motions to quash the summonses.

The court emphasized the need for efficient scheduling and discouraged the strict enforcement of procedural rights that would cause unnecessary delay.