Equitable Remedies

Question 1

What is an injunction

Answer 1

A discretionary coercive equitable remedy. They are not a matter of right, they are up to the judge’s discretion and are backed by the court’s contempt power. They can be mandatory or prohibitory and are generally classified as restorative (seeking to undue a past wrong), prophylactic (what must be done to prevent future harm), or structural (with the courts overseeing a structural system being put in place–integration of schools).

Question 2

Req for injunction

Answer 2

A. Inadequate remedy at law
B. Irreparable Harm- harm that is great and certain
1. Likelihood of success on the merits
2. Balance of interest and hardships if injunction is made
3. Public interest
4. No equitable defenses (laches, unclean hands, unconscionability, estoppel, election of remedies)

Question 3

Collateral Bar Rule

Answer 3

Bars a defendant from challenging an injunction in a criminal contempt case

Question 4

3 Elements to evaluate for specific performance

Answer 4

1. Valid contract
2. Ready willing and able to perform (mutuality of remedy)
3. Balance of equities favor specific performance
   (However when the contract is for the sale of goods UCC applies and the commercial feasibility of replacement is another consideration)

Question 5

Equitable Estoppel

Answer 5

A bar to a party asserting a legal claim or defense that is contrary or inconsistent with his/her prior action or conduct.

Question 6

Elements to equitable estoppel

Answer 6

1. Misrepresentation of material facts
2. Other person knew at the time the facts were untrue
3. Party claiming estoppel didn’t know facts were true
4. Reasonable reliance
5. Prejudice

Question 7

Laches

Answer 7

1. Unreasonable delay

2. Prejudice (economic prejudice and evidentiary prejudice)

Question 8

Difference between a TRO and a Prelim Injunction

Answer 8

A TRO can be entered ex parti upon a specific showing of immediate and irreparable harm. Can last 14 days with a second 14 day extension with good cause.
In contrast, a Prelim Inj. must provide both parties a reasonable opportunity to be heard. The injunction lasts until full trial on the merits of the case.

Question 9

Advantages to constructive trust

Answer 9

• Permit the P to claim specific property and thus get priority over other D’s creditors
• can also get advantage to any increase in property
• may also trace misappropriated funds to its final product and get a constructive trust on that product (life ins. funds and tracing)

Question 10

Constructive trust

Answer 10

A trust that arises by operation of law in which the court imposes a trust upon property that is lawfully held by one party for the benefit of another, as a result of some wrongdoing by the party in possession so as to avoid unjust enrichment.

Question 11

Why would legal damages be an inadequate remedy at law

Answer 11

• Future conduct v past conduct
• Multiplicity of litigation
• Importance of protecting rights

Question 12

Req for Specific Performance

Answer 12

1) Inadequate Remedy at law
2) Adequate consideration (Diff. from contract formation)
3) Mutuality of Remedy
4) Terms of K sufficiently definite
5) Performance to be compelled substantially identical to that promised in original k