Summary
On summary judgment, a court may decide the merits in a party’s absence where proper notice, a fair opportunity to respond and no good reason to adjourn are established. Unsupported pleaded facts and speculation about evidence at trial do not create a realistic prospect of success.
Clear, unconditional and irrevocable contractual promises can prohibit informal claims, threats to involve regulators or the media, and disparaging communications. A settlement restricting speech is not contrary to public policy merely because Article 10 of the European Convention on Human Rights is engaged, particularly where the parties had legal advice and there is no evidence of concealed wrongdoing.
Material breach may trigger immediate termination, repayment and surviving undertakings. An anti-suit injunction may enforce a promise not to litigate abroad despite a non-exclusive jurisdiction clause, and may also be granted where foreign proceedings are unconscionable and England is the natural forum. An alternative tort claim for the same loss does not permit double recovery.
Factual background
The claimants sought summary judgment and, alternatively, default judgment in a dispute concerning an 11.7% interest in Sporting Holdings, the holding company for the Rajasthan Royals cricket franchise, and a subsequent Settlement Agreement.
The defendants did not attend the hearing despite notice and opportunities to participate. The court considered whether to proceed in their absence, whether the defendants had any realistic defence to the share transfer and settlement arrangements, whether later communications amounted to material breaches entitling the claimants to terminate, and whether repayment, declarations, contractual injunctions and a permanent anti-suit injunction should be granted.
The court also considered whether an alternative unlawful-means conspiracy claim could be entered in default where the contractual claims covered the same alleged loss.
Held
Disposition. The court proceeded in the defendants’ absence under the Civil Procedure Rules 1998, applying the two-stage approach in Pirtek (UK) Ltd v Jackson [2017] EWHC 2834 (QB). The defendants had proper notice and a fair opportunity to participate. There was no good reason to adjourn, and the decision was therefore on the merits rather than by default.
The court applied the summary judgment principles in Easyair Ltd (t/a Openair) v Opal Telecom Ltd [2009] EWHC 339 (Ch), approved in AC Ward & Son v Catlin (Five) Ltd [2009] EWCA Civ 1098. Unsupported factual allegations and speculation about future evidence did not establish a realistic prospect of success. The approach in Iqbal v Geo TV Ltd [2024] EWCA Civ 1566 was applied. Permission was also given to proceed against Kuki despite its failure to file an acknowledgment of service.
- Contractual claims. The defendants’ communications claiming an interest in the franchise, threatening complaints and proceedings, and engaging the media amounted to breaches or threatened breaches of the Settlement Agreement. Its broad, unconditional and irrevocable wording was enforceable. Applying Mionis v Democratic Press SA [2017] EWCA Civ 1194 and Smith v Backhouse [2023] EWCA Civ 874, the restrictions were not contrary to public policy or disproportionate merely because freedom of expression was engaged. A proviso permitting good-faith disclosures to competent authorities and courts was appropriate.
- Relief. EMV validly terminated for material breach. The defendants jointly and severally owed US$4,937,887, with simple interest at the US Prime Rate from 4 July 2025. Summary judgment was entered for an indemnity, with factual entitlement, scope and quantum to be assessed by a Master. Six declarations and contractual injunctions were granted.
- Anti-suit injunction. Applying AES Ust-Kamenogorsk Hydropower Plant LLP v Ust-Kamenogorsk Hydropower Plant JSC [2013] UKSC 35, National Westminster Bank v Utrecht-America Finance Company [2001] EWCA Civ 658 and Star Reefers Pool Inc v JFC Group Co Ltd [2012] EWCA Civ 14, a permanent injunction was granted. The foreign proceedings breached contractual undertakings and were unconscionable, while England and Wales was the natural forum.
- Conspiracy. Default judgment was refused on the alternative unlawful-means conspiracy claim. The claimants had to elect between inconsistent remedies when judgment was entered, and the contractual award exhausted the alleged loss: Tang Man Sit v Capacious Investments Ltd [1996] AC 514.
The court’s approach to earlier authorities
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Appellate history
High Court (King’s Bench Division): first-instance merits decision following earlier interim orders in the same proceedings, including the decision reported at [2025] EWHC 3037 (KB) and later interim anti-suit and asset orders. No appeal is stated.
Key cases cited
16 authorities cited.
- Ust-Kamenogorsk Hydropower Plant JSC v AES Ust-Kamenogorsk Hydropower Plant LLP [2013] UKSC 35
- Salman Iqbal v Geo TV Limited [2024] EWCA Civ 1566
- Dr Erica Smith v Dr Christopher Backhouse [2023] EWCA Civ 874
- Mionis v Democratic Press SA & Ors [2017] EWCA Civ 1194
- Star Reefers Pool Inc v JFC Group Co Ltd [2012] EWCA Civ 14
- AC Ward & Son v Catlin (Five) Ltd & Ors [2009] EWCA Civ 1098
- Rolls-Royce Plc v Unite the Union [2009] EWCA Civ 387
- National Westminster Bank v Utrecht-America Finance Company [2001] EWCA Civ 658
- Lonestar Communications Corporation LLC v Daniel Kaye & Ors [2023] EWHC 732 (Comm)
- ARAMCO TRADING FUJAIRAH FZE v GULF PETROCHEM FZC [2022] EWHC 288 (Comm)
- The European Union & Anor v The Syrian Arab Republic [2018] EWHC 1712 (Comm)
- Pirtek (UK) Limited v Robert Jackson [2017] EWHC 2834 (QB)
- Easyair Ltd (t/a Openair) v Opal Telecom Ltd [2009] EWHC 339 (Ch)
- Equitas Ltd & Anor v Wave City Shipping Company Ltd & Ors [2005] EWHC 923 (Comm)
- Personal Representatives of Tang Man Sit v Capacious Investments Ltd [1996] AC 514
- Wallersteiner v Moir (Moir v Wallersteiner) [1974] 1 WLR 991
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Cases citing this case
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