What is the test for a breach of a binding agreement?

Ontario, Canada

The following excerpt is from Cities Service Oil Co. Ltd. v. Pauley, 1931 CanLII 176 (ON SC):

3. The covenants in the agreement, though affirmative in form, are restrictive in substance, and therefore a breach thereof may be enjoined. Clegg v. Hands (1890), 44 Ch. D. 503, followed.

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