PSG Franchising obtains High Court Injunction to prevent former Milton Keynes franchisee from competing

PSG Franchising obtains High Court Injunction to prevent former Milton Keynes franchisee from competing

PSG have issued the following press statement this afternoon: 

"PSG Franchising obtains High Court Injunction to prevent former Milton Keynes franchisee from competing Industry-leading supplier of regulated property searches, PSG Franchising Limited, has, yesterday 20th December 2012, successfully obtained an injunction to restrain its former franchise holders in Milton Keynes, Lydia Darby Limited from operating a competing business in their former territory for a year following termination of their franchise relationship.

Defendants Lydia Darby Limited and David and Lydia Darby have been ordered not to provide property search reports to customers with an address within the following postcodes: MK1 to MK19, MK43, MK44, and MK46, for a period until 1st September 2013. They have also been ordered not to solicit business from former clients that they dealt with from 1st September 2011 until 31st August 2012. They have also been ordered to pay substantial legal costs to PSG.

David Darby had led PSG Franchising Ltd to believe that he wished to retire from the provision of property searches in August 2012, but instead he and his wife Lydia had already begun a new business “Index South Central” in association with Essex-based company Index Property Information Limited and were switching their clients to the new business in breach of their existing franchise contract.

The High Court decided that the Darbys were still bound by restrictions in their franchise agreement that prevented them from trading and soliciting business in their former territory."

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