High Court holds that Pronuptia applies to restrictive covenants in franchise agreements

14/07/14

Mr Justice Henderson has handed down judgment in a claim to enforce post-termination restrictive covenants against a franchisee (Carewatch Care Services Limited v Focus Caring Services Limited & Others [2014] EWHC 2313 (Ch)). Various defences were raised at trial, including that the terms were anti-competitive and void. The Judge dismissed this argument, holding that the provisions in question clearly satisfy the requirements set out by the Court of Justice in Case 161/84 Pronuptia [1986] ECR I-353.

The judgment is here.