The applicant company sought an interim and interlocutory injunction to enforce a standstill agreement against its founder and largest shareholder, pending arbitration.
The respondent had issued a press release calling for the replacement of the board of directors, which the applicant argued breached the negative covenants in the agreement.
The respondent brought a cross-motion to dismiss the application under the anti-SLAPP provisions of the Courts of Justice Act.
The court granted the injunction, finding a serious issue to be tried regarding the breach of negative covenants, irreparable harm to the company's goodwill, and a balance of convenience favoring the applicant.
The anti-SLAPP motion was dismissed because the application had substantial merit and the public interest in enforcing commercial contracts outweighed the protection of the expression.