Chabra Injunctions – Freezing Orders To Recover Assets Held By Third Parties

Chabra injunctions are freezing orders against assets held by a person "A", against whom a claimant has no cause of action, on the basis that such assets may be ultimately available through court process to satisfy a judgment which the claimant may obtain against a defendant. Chabra injunctions can prevent a defendant from using a third party which it controls to hide or dissipate assets that could satisfy a judgment against the defendant. Courts may grant Chabra injunctions where there is good reason to believe that the assets held by A are, in truth, the assets of the defendant.

This article is part of a series of articles on asset recovery. Other articles in this series deal with Mareva injunctions and Norwich Pharmacal orders.