A more recent version of these Freezing Injunctions notes – written by City Law School students – is available here.
The following is a more accessble plain text extract of the PDF sample above, taken from our BPTC Civil Ligitation Notes. Due to the challenges of extracting text from PDFs, it will have odd formatting:
FREEZING INJUNCTIONS Interim order restraining party from:
removing assets from the jurisdiction, and
dealing with assets in certain ways
Imposition of Freezing Injunction does not take priority over creditors if Defendant is insolvent. High Court Jurisdiction to grant Requirements 4 Requirements:
1. Cause of action
2. Good arguable case
3. Defendant has assets within the jurisdiction, and
4. Real risk that, if not granted, Defendant will dissipate those assets before judgment can be enforced.
+ Court must exercise its discretion 1: Cause of Action Claimant must have a substantive cause of action against Defendant Includes when proceedings have been/are about to be issued abroad
unless, due to overseas proceedings, it would be inexpedient to grant Freezing Injunction
2: Good Arguable Case More than barely capable of serious argument - need not to have 50% chance of success
Higher requirement than "serious issue to be tried" (interim Injunction)
May not be satisfied if:
Claimant does not have the evidence to substantiate his claim, or
Defendant has an arguable defence (includes set-off extinguishing)
3: Defendant has Assets within the Jurisdiction Equity will not act in vain Claimant must show some grounds for believing Defendant has assets within the jurisdiction
"Assets" - money, shares, vehicles, trade goods, jewellery, office equipment
Defendant must own assets in same capacity as party to claim (Eg. if trustee - legal ownership sufficient, if beneficiary - equitable ownership sufficient)
If ownership unclear - Claimant must prove Defendant's ownership is "more than arguable" 4: Real Risk Defendant may Dissipate those Assets before Judgment is Enforced Claimant must provide "solid evidence" that there is a real risk Defendant will dissipate the assets if unrestrained.
Buy the full version of these notes or essay plans and more in our BPTC Civil Ligitation Notes.