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Crystal Ignatowski By Crystal Ignatowski • August 14, 2015

What Is A Dissolve Injunction Bond?

 what is a dissolve injunction bond

 

What is a Court Injunction?

 

A court injunction is a judicial order that requires a person to do or stop doing something. Plaintiffs can apply for a court injunction, which requests the judge to prohibit the defendant from engaging or carrying out a specific act, or orders the defendant to stop doing something that is damaging to the plaintiff.

What is an Injunction Bond?

 

When a plaintiff files for a court injunction, they usually are required to post an Injunction Bond. An Injunction Bond is a type of surety bond that guarantees reimbursement should it turn out once the facts of a case have been uncovered that an injunction should not have been granted. Should a defendant suffer damages due to an injunction, an Injunction Bond protects the defendant and guarantees they will be ‘made whole’ by the plaintiff.  

 

If a defendant wishes to stop an injunction, they can file a dissolve injunction.  If a defendant wishes to do so—just like the plaintiff who wishes to file an injunction—they must file a Dissolve Injunction Bond.

 

What is a Dissolve Injunction Bond?

 

A Dissolve Injunction Bond is a type of surety bond that suspends the operation of an injunction. Whereas an Injunction Bond indemnifies, or compensates, the defendant should it turn out the Injunction Bond should not have been granted, a Dissolve Injunction Bond indemnifies the plaintiff.

 

Dissolve Injunction Bond Example

 

An example of this in recent news is the Apple v. Samsung case regarding the sale of Samsung’s Galaxy Tab 10.1 tablet computer. The court ruled an injunction prohibiting Samsung from making, using, and selling the Samsung Galaxy Tab 10.1 tablet computer because it infringed upon Apple’s design patent. Samsung asked the district court to dissolve the injunction, and they agreed.

 

“The Court agrees with Samsung that the sole basis for the preliminary injunction was the Court's finding that Samsung likely infringed the D'889 Patent. The jury has found otherwise. Thus, the sole basis for the preliminary injunction no longer exists. Based on these facts alone, the Court finds it proper to dissolve the injunction.”

 

 

How to get a Dissolve Injunction Bond

 

Injunction Bonds are hazardous for surety bond companies to write. Dissolve Injunction Bonds are no different. If you need a Dissolve Injunction Bond, you will no doubt need to work with a surety bond company to guide you through the bonding process.

 

When the surety company evaluates your situation to see if you can be bonded, they will do a careful study of all the facts and circumstances of the court case. This is to assess the liability that may accrue due to filing a Dissolve Injunction Bond.

 

Having a surety bond expert on your side is vital if you are trying to get a Dissolve Injunction Bond. Need assistance from a surety bond expert? Surety Solutions has over 50 years of experience in the surety bond industry. So give us a call. We can help you get bonded.

 

Contact Surety Solutions

 

Related Links:

What Is An Injunction Bond?

Samsung Wants Apple To Pay $2M For Dissolved Injunction