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New York Practice > Provisional Remedies > Flashcards

Provisional Remedies Flashcards

1
Q

What are the 5 provisional remedies?

A

(1) Attachment
(2) Preliminary Injunction
(3) Temporary Receivership
(4) Order to Seize Chattel in an action to recover the chattel (replevin)
(5) Notice of Pendency (lis pendens)

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2
Q

For which provisional remedies are a court order required?

A

All provisional remedies, except for notice of pendency.

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3
Q

(1) What is attachment?
(2) What can be attached?

A

(1) Attachment is a levy on real property or personal property to provide security to enforce a money judgment.

(2) Real property, personal property (tangible or intangible)

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4
Q

How does a sheriff levy on real property?

A

Sheriff simply files an order of attachment with the county clerk of the county where the RP is located.

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5
Q

What is a third party that holds defendant’s property interest or owes a debt to the defendant?

A

A garnishee. Classic example is a bank [bank account].

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6
Q

How does a sheriff levy on personal property?

A

A sheriff levies on personal property by constructive serizure. The sheriff delivers an order of attachment to whoever is holding D’s personal property interest (whether D herself or a third party). This automatically imposes a lien, and automatically enjoins the person served from transferring that property pending the outcome of the action.
Gives P priority over subsequent creditors.

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7
Q

What type of priority does a lien created by attachment give the plaintiff?

A

Priority over subsequent creditors.

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8
Q

In what type of actions may attachment be used?

A

P must be seeking money damages, AND either

1) D is an outsider (an unlicensed foreign corporation or a non-domiciliary residing outside of NY); OR
2) D is about to conceal or remove assets from NY with the intent to defraud creditors or frustrate the enforcement of a judgment. (Doesn’t have to be an outsider/insider).

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9
Q

What must a motion for an order of attachment include?

A

1) P must make a motion for an order of attachment.
2) The motion must include:
a) Affidavits showing 1 of the 2 grounds for attachment and that P is seeking money damages.
b) Probability of success on the merits of the underlying claim.
c) P must provide an undertaking (a bond). This indemnifies D for any damages caused by the attachment (like if D wins the case on the merits, or if the attachment is made by improper procedure).
3) P must make follow-up motion to confirm (Within 10 days of actual levy for an outsider, and within 5 days for a D concealing or removing assets).

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10
Q

What type of motion should P make for an order of attachment?

A

The motion can be on notice or ex parte, but will likely be ex parte for timing considerations. (Don’t want to alert D). But, if P decides to make the motion EX PARTE, additional requirements:

1) Due Process requires that D must have an opportunity for a prompt hearing after the levy on his property. Thus,
2) P must make a follow-up motion on notice (must be prompt, so by order to show cause) to confirm the ex parte order.

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11
Q

How quickly must P make a motion to confirm an order for attachment?

A

For an unlicensed foreign corporation, the motion to confirm must be made within 10 days of the levy on D’s property to satisfy due process.
For a D that is removing or concealing assets, 5 days from levy on the assets.

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12
Q

Can P get an order of attachment on a third-party debtor of the D?

A

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Yes, just like an attachment on D himself.

Example: P is suing D for money damages. Tom owes D $10,000. P can get an order of attachment on that $10,000 that Tom owes the D if it satisfies the criteria for attachment.

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13
Q

What is a preliminary injunction?

In what types of actions may a preliminary injunction be used?

A

1) A preliminary injunction is used to maintain the status quo while an action is pending.

2) A preliminary injunction may be used in an action in which P seeks either
a) A permanent injunction
b) Where D t_hreatens to harm the P’s interest in the subject matter_ of the action.

Example. If Silvio threatens to sell all of the stock he fraudulently purchased from Carmela out of state, Carmela can get a preliminary injunction on the sale of the stock because it is the subject matter of the action.

NOTE: An action that seeks purely money damages will not support a preliminary injunction.

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14
Q

Can P get a preliminary injunction in an action purely for money damages?

A

No.

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15
Q

What is the procedure for a preliminary injunction?

A

The motion for a preliminary injunction must be made on notice. The motion papers can be served with, or after, the summons. The motion must include:

a) P affidavits must show grounds for equity relief, including a threat of irreparable injury.
b) Probability of success of underlying COA.
c) P must provide an undertaking for indemnifying D if later determined D should win (bond).

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16
Q

What is a temporary restraining order (TRO)?

When/why is it used?

A

A TRO is used instead of a preliminary injunction when P needs to get injunctive relief prior to the 8 day minimum imposed by the motion on notice procedure (required for a preliminary injunction).

17
Q

What is the procedure for obtaining a TRO?

A

P must:

1) Make a motion for preliminary injunction by order to show cause.
2) In the order to show cause the JUDGE can include the TRO.

Then it just needs to be served on other party to take effect.

18
Q

What is a temporary receivership?

When is it available?

A

A temporary receiver is a person appointed by the court to manage property in D’s possession.

2) It is available when P is (a) asserting an equity claim in which the specific property is the subject matter of the action, AND (b) there is a danger that D will injure or destroy the value of the property while the action is pending.

[Not available for purely money damages]

19
Q

Can you get a temporary receivership ex parte?

A

No a party can only get a temporary receivership by motion on notice.

20
Q

When is seizure of a chattel available?

What does the sheriff do?

A

Seizure of a chattel is available in an action that seeks to recover possession of a chattel (tangible PP) (replevin).

The function of this order is to ensure enforcement of a judgment that awards possession of the chattel to P.

The sheriff will retain custody (impoundment).

21
Q

What must be included for a motion for an order of seizure?

How can it be made?

A

1) That P will probably succeed on the merits
2) An undertaking to indemnify D for wrongful seizure.

It can be made on notice or ex parte. If Ex Parte, also need:

1) Threat of immediate loss of chattel
2) If the ex parte order is granted, P must make a follow-up motion on notice to confirm the ex parte order no later than 5 days after sheriff’s seizure of chattel.

22
Q

What is a notice of pendency?

Can it be filed without a court order?

A

Used when action will have a direct effect on real property.

A notice of pendency is when P files a notice of pendency with the County Clerk of the county of real property that is the subject of action [where judgment will affect title, possession, or use].

Required in a mortgage foreclosure.

IT CAN BE FILED WITHOUT A COURT ORDER and without an undertaking.

23
Q

What remedy does D have if a notice of pendency is improperly filed?

A

D must make a motion to cancel the notice of pendency.

24
Q

How long does a notice of pendency last after it is filed?

A

New York Practice (6 decks)

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