Pick n Pay fails in bid to block Game trading
Retail giant Massmart staved off an attempt by rival retailer Pick n Pay to prevent one of its subsidiaries, Game, from operating as a supermarket at a Western Cape shopping centre. The Constitutional Court on Friday declined to give Pick n Pay Retailers an interdict to stop Game from operating as a supermarket under its Foodco brand at the CapeGate shopping centre in Brackenfell. This was regardless of a deal between the centre’s owners, Hyprop Investments, and Pick n Pay giving the retailer an exclusive right to trade as a supermarket in the centre. "As a general proposition, however, there is no legal duty on third parties not to infringe contractually derived exclusive rights to trade because exclusive trading rights make the competitive field uneven," the Constitutional Court’s majority judgment said on Friday. "No infringement of a right to goodwill or in the legal duty to respect the right to goodwill was established in this case." The ruling should give momentum to retailers...
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