Star cricketer Yuvraj Singh can negotiate a fresh contract with a new talent management agency and his current agency, Percept, can not stop him from doing so, observed the Bombay High Court.
Currently, Yuvraj is bound by a contract with Percept Talent Management Agency. This contract will expire on December 11.
However, he has already started negotiations with another agency. Percept had moved the High Court, saying that the existing contract had a "first refusal clause", which means he could not have a fresh agreement with a new agency unless Percept had a chance to offer him better terms.
But Justice Dhananjay Chandrachud, in an order late last evening, held that such a clause amounted to restraint on trade, which is not permissible under the Indian Contract Act.
Percept had asked Yuvraj for details of the contract that he was negotiating with another agency.
Yuvraj's lawyer however assured the High Court that he would sign the new contract untill December 11.