Matthew Parker KC successful in defending USD 40 million injunction application

In a judgment handed down on 18 June 2025, in the high-profile case of Eraaya Lifespaces Ltd v Elara Capital PLC [2025] EWHC 1506 (Comm), Mrs Justice Cockerill refused an attempt by Eraaya to compel the release of sums held under a complex bond financing structure.

Eraaya sought an injunction which would have required Elara to confirm that USD 40 million received from bondholders could be paid over to Eraaya. Eraaya argued that Elara “had no defence to the claim at all” and “no legitimate basis” for not providing the confirmation.

Following submissions from Matthew Parker KC on behalf of Elara, the Judge “unhesitatingly” concluded “that on the material before me it is Elara’s case which appears at this early stage to be stronger” and that Eraaya’s case was “confused and far from strong.” The Judge also accepted that there was “a very real case” that Elara would suffer serious and irremediable prejudice if the Court were wrongly to grant the relief sought and held that the balance of convenience tipped “decisively away” from granting the injunction.

Separately, the Court granted Elara retrospective permission pursuant to CPR Rules 31.22 and 32.12 to use the evidence served by Eraaya in support of the application other than “for the purpose of the proceedings” (by providing it to the bondholders to enable them to consider whether to intervene in the application).

Matthew Parker KC was instructed by CND Parker. William Edwards KC is also instructed by Elara in relation to its dispute with Eraaya.