When a corporation becomes aware of a wrong that has been done to its business or profitability in violation of a contract or a law, they generally take swift legal action. But there is a significant difference between discovering something that has happened in the past and something that is ongoing. When the damage is continuing, there is a need for immediate injunctive relief. That generally comes in the form of a restraining order.
A restraining order is a legal response to an emergent situation, and it is available to businesses of all sizes. A restraining order’s intent is to put a temporary stop to an activity in order to prevent irreparable harm. It is a placeholder to stop further damage until the plaintiff has the opportunity to take more permanent action.
Restraining orders are not easily granted by the courts. The applicant needs to demonstrate that without emergency action being taken, they will suffer irreparable damage until a hearing can be held. They also need to prove that they have a high likelihood of winning their case based on the merits of the law when it is actually heard in court, and that the harm that the plaintiff would suffer without the injunctive relief would be greater than the harm done to the defendant by the imposition of injunctive relief. It is important to note that irreparable damage in this context is interpreted as harm that cannot be compensated with financial damages.
Restraining orders are meant to provide temporary relief until the court has the opportunity to weigh the arguments on both sides and reach a solution. If the courts agree that the plaintiff is entitled to halting the actions of the defendant permanently, a permanent injunction will be put in place.
There are a variety of circumstances under which a restraining order would be an appropriate action, including stopping an employee or partner from stealing from the company or putting a stop to trademark infringement or some other type of theft of intellectual property.
If you are in need of assistance in stopping another organization or individual from doing irreparable harm to your company, you need to work with experienced business attorneys with a record of successfully persuading the court to issue injunctive relief. To learn more about how we can help, contact us today to set up a time to discuss your situation.