Harcus Sinclair LLP (Respondent) v Your Lawyers Ltd (Appellant)

The appeal in Harcus Sinclair LLP (Respondent) v Your Lawyers Ltd (Appellant) concerned a dispute between two law firms over a non-compete undertaking in relation to group litigation concerning diesel emissions from vehicles manufactured by Volkswagen. The central issue was whether the non-compete undertaking was an unreasonable restraint of trade. The Supreme Court held that the non-compete undertaking was not an unreasonable restraint of trade, as the law firm did have legitimate interests to protect through the non-compete undertaking, which flowed from the intended informal collaboration. The Court of Appeal had made an error of law in overruling the judge's reasoning that one could take into account the parties' non-contractual intentions to collaborate informally. The Supreme Court also concluded that the non-compete undertaking was not a solicitor's undertaking and, if it was a solicitor's undertaking, it would not have been enforceable under the court's summary jurisdiction over its officers against the law firm because it was not an officer of the court. The appeal was allowed.