Equity Flashcards
Injunctive relief
an order by a court to do something (mandatory) or stop doing something (negative)
How is an injunction enforced?
through contempt
When can P get injunctive relief against tortious conduct?
(1) legal remedy is inadequate
(2) property right or protectable interest is involved
(3) enforcement of an equitable decree would be feasible
(4) the hardships to D don’t greatly outweigh benefit to P
and
(5) no defenses available
What is the purpose of a temporary injunction
to preserve the status quo to prevent irreparable injury before trial can be held
What must P show to get temporary injunction?
That she’s likely to prevail on the merits at trial but will suffer irreparable injury loss or damage before trial unless temporary injunction is granted.
When are money damages inadequate?
if they are speculative
injury is irreprable
multiplicty of actions may be needed
P has no right to damages or
D is insolvent
What are D’s defenses to injunction?
(1) unclean hands - improper conduct related to the same transaction
(2) Laches
(3) impossibility, hardship, freedom of speech
Laches
Available if
(1) P unreasonably delayed bringing action
(2) delay is prejudicial to D and
(3) D had no knowledge that P would claim the right alleged in the suit
When does laches begin to run?
When P has knowledge that a right has been infringed
What must P show to get specific perofrmance?
(1) a K exists
(2) P has performed or is ready to perform
(3) the legal remedy is inadequate
(4) enforcement is feasible and
(5) there are no defenses available to D
When is a covenant not to compete enforceable?
(1) set forth in writing signed by the person to be charged
(2) P must show legitimate business interest justifying restriction (e.g. protection of trade secrets)
(3) restraint is reasonably necessary to protect legitimate business interest
When is recission available?
(1) mutual mistake of material fact
(2) unilateral mistake where other party knew or should’ve known of mistake
(3) material misrepresentation of fact or law
(4)duress, undue influence ,illegality, lack of capacity
Reformation
Parties had a valid contract but it doesn’t reflect their original intent
Constructive trust
Remedy imposed by courts to prevent unjust enrichment when wrongdoer has gained title to property through misapropriation of money or property. D’s title must be traceable to the misappropriated property.
When should an equitable lien be used vs a constructive trust?
Equitable lien is appropriate when property in D’s hands is worth less than P’s claim
Constructive trust is appropriate where D holds property worth more than P’s claim bc P will receive the more valuable property.
