In the recent case of Sabmiller Africa BV v East African Breweries Limited [2009] EWHC 2140, the Commercial Court granted an interim injunction to prevent a party from implementing a transaction to acquire a majority shareholding in a business rival, and to have its products manufactured and distributed under licence by that rival, as the transaction was allegedly in breach of non-competition provisions (ie restrictive covenants) entered into with the existing manufacturer and distributor of their products.

The court granted the injunction on an interim basis, until an arbitral tribunal could rule on the merits of the dispute. The injunction was granted despite the fact that it was likely to mean the continuation of the existing manufacturing and distribution arrangements between the parties in dispute and would require those parties to co-operate in the provision of those services. Click here for a detailed article on this case, published in the New Law Journal on 4 December 2009.