Notification Injunctions - A New Tool For Asset Preservation?

When plaintiffs sue for substantial damages they need to be confident that the defendant has assets to meet a judgment. That does not just mean knowing that the defendant presently has assets, it means being confident that the defendant won't re-arrange their affairs when sued to put assets beyond reach of execution of judgment. Where there is real risk that assets will be dissipated to defeat judgment a plaintiff has the option of seeking an order freezing assets pending the outcome of the law suit. That, however, is an intrusive remedy that requires good evidence of a risk of dissipation and requires the plaintiff to able to give a credible cross-undertaking (often backed by security) to make good any losses the order may cause. There are cases where an order cannot be obtained even though there is a genuine concern about dissipation because the plaintiff cannot produce sufficient evidence to satisfy the test applied by the court for proving that the risk is "real".