Enforceability Of Restrictive Covenants And The Role Of Interim Injunctions: A Study Of Gujarat Bottling V. Coca-Cola
- IJLLR Journal
- Jan 14
- 1 min read
Tia Singh, Jindal Global Law School
ABSTRACT
The case of Gujarat Bottling Co. Ltd. v. Coca-Cola Co. (1995) is an important turning point in Indian contract law, examining the enforceability of restrictive covenants, especially non-compete provisions, and their relationship with public policy under Section 27 of the Indian Contract Act, 1872. The paper critically examines the Supreme Court's approach to balancing contractual freedom and competition law principles, as well as the procedural implications of interim injunctions under the Civil Procedure Code of 1908. Through the perspective of this case, the article investigates the changing legal landscape for businesses attempting to preserve exclusive rights while ensuring that trade restrictions remain reasonable. The study also discusses how the case highlights the relevance of civil procedural tools, such as injunctions, in commercial litigation.
Keywords: Non-compete clauses, Restrictive covenants, Interim injunctions, Reasonableness