Torts - Equitable Remedies Flashcards
Permanent Injunction
Injunction orders D to refrain from certain act (negative injunction) or to perform a particular act (mandatory injunction). Party seeking must show
(i) legal remedy is inadequate
* Inadequate when there is a continuing wrong/harm (that would lead to multiplicity of suits)
* Look at damages, replevin, and ejectment
(ii) it is feasible to enforce injunction
* Negative Injunction: easy to enforce since D can be held in contempt for failure to comply
* Mandatory injunction: requires court supervision to ensure D is acting correctly, so it’s less feasible
(iii) court must balance the hardships (encroachment and nuisance only)
* Hardship to defendant or to the public must not outweigh benefit to plaintiff (if it does, majority view says P can only get money)
* Intentional enroachment: no balancing and P always wins
* Negligent encroachment: court balances and leans toward P
* Private nuisance: always balance hardships
* Ex. Look for where injunction would cause hundreds of layoffs
(iv) there must be no defenses
Feasibility of Enforcement
* Oversight of complex, long-term tasks make it less likely court will grant injunction
* BE CAREFUL of where D is ordered to stop doing act (ex. polluting) but doing so would require D to do an affirmative act (ex. install complex filtration system). This is a MANDATORY injunction, not negative injunction.
Temporary Restraining Order
Emergency order imposed until a hearing for preliminary injunction can be held. Party seeking must show:
* (i) it will suffer irreparable injury before preliminary injunction can be obtained
* (ii) it is likely to succeed on the merits of the underlying claim
* (iii) balance of hardships shows D’s hardship doesn’t greatly outweigh P’s benefit from relief
* (ii) moving party has made good faith effort to give notice OR notice to adverse party not required if moving party makes strong showing why notice should not be given
TROs only last 10 days in CA (14 days in federal court)
Preliminary Injunction
Party seeking preliminary injunction (interlocutory order) must show
1. It’ll suffer irreparable harm if injunction not granted
2. It’s likely to prevail on the merits
3. Harm to P outweighs harm D will suffer
4. Not against the public interest
(Must give notice to D)
Injunction Defenses
Laches: P delayed bringing lawsuit and this delay prejudiced defendant
Unclean Hands: P seeking equitable remedy is guilty of wrongdoing in SAME transaction that’s being sued over (P did inequitable/wrongful conduct)
* Ex. P obtained D’s consent through fraudulent misrepresentation
Criminal Act: Usually, equity doesn’t have jurisdiction to enjoin crimes or enforce criminal penalties (no injunction can be issued against criminal prosecution unless irreparable injury to P would result)
Freedom of Speech: Injunction is unconstitutional prior restraint on speech (used for defamation)
Purchase Money Resulting Trust
When two people paid consideration to purchase real property, but only one person took legal title and they agreed to divide net proceeds, the court may impose a purchase money resulting trust
* Trustee: person who has legal title
* Beneficiary: person who gave consideration
If beneficiary paid only part of purchase price, resulting trust is for pro rata portion of title. Trustee has duty to convey that portion of title to beneficiary.
* No writing is necessary since resulting trust is created by court
Defense: Trustee can rebut presumption of trust by showing that (i) there was no intent to create a trust and (ii) consideration paid was a gift, loan, or payment or debt.
* If trustee and beneficiary are close relatives, gift is presumed
