Freezing Risk During Litigation: Temporary Injunction As A Strategic Tool For Individuals And Businesses

1. INTRODUCTION

At the inception of litigation or during its pendency, situations may arise where one party takes steps that threaten to alter the subject matter of the dispute or render the final relief ineffective. Such acts may, inter alia, include alienating disputed property, diverting funds in breach of a commercial arrangement, disclosing confidential information, soliciting employees or clients in violation of contractual obligations, or otherwise disturbing the existing state of affairs. In such a case, the affected party cannot always afford to wait until final adjudication. What is required is an immediate preventive remedy that preserves the subject matter of the dispute and protects the parties’ rights in the interim. This is where the remedy for a temporary injunction becomes significant.