Can a Company Secure a Restraining Order? A Complete Answer

Restraining Orders Simplified

A restraining order is a court order that requires one person to refrain from taking certain actions towards another person. Commonly issued in personal matters, it has become increasingly popular for businesses and corporations to seek this type of relief. While a restraining order cannot compensate a victim for being harmed, it prevents future harm from occurring. The degree of harm that must be inflicted varies on jurisdictional law and procedural formalities. In some jurisdictions, the victim must suffer physical harm such as assault or battery. In others the victim only needs to fear imminent harm. There are two types of restraining orders based on the procedural history: Temporary Restraining Orders and Permanent Restraining Orders. Restraining Order Protections may be sought and obtained with respect to the financial and real property assets of the enterprise as well as the person and property of the individual. The Temporary Restraining Order is used to prevent irreparable harm to the assets of the business whilst the Permanent Restraining Order is sought after trials are concluded.
Obtaining a restraining order can be a long process if the other party does not consent to the order. Usually there is a short hearing before a judge. The person seeking the restraining order will have to make the alleged victim of the abuse appear if the alleged victim is over 18. If the victim is under 18 then it is up to the court’s discretion whether the victim will appear in court. The judge may dismiss the case if the victim cannot appear in court. Before the date of trial , either the plaintiff or defendant may file a Motion to Modify, Vacate, or Dismiss a Restraining Order. A Permanent Restraining Order can be obtained from either the plaintiff’s counsel or the defendant’s counsel.
Business should consider seeking a restraining order when their intellectual property is at risk, the equity omitting to the market capital of their stock is under attack from false or disparaging attempts from their competition, former employees, or other rival businesses. In these circumstances a speedy remedy is applied. Remedies include but are not limited to monetary damages, injunctions, disparagement, punitive damages and other miscellaneous damages.

Legal Basis For Restraining Orders Against Companies

While most people think of restraining orders as tools to protect individuals, businesses can also seek this form of protection. A business can obtain a restraining order under the law if it can show that a person or entity is using fear, intimidation, harassment, or threats of violence against them. Businesses can also use a restraining order to protect themselves from unfair competition.
Threats and violence can take many forms, including direct threats made (such as badgering a business worker with angry or threatening comments) or in more indirect ways (such as stalking a business owner or employee). There are many forms that violence can take under the law, too, including physical, verbal, or even emotional violence. The California legal code also has to recognize the idea of "unlawful violence", which is any type of force used against another person. It can allow a business to get a restraining order when the person or entity in question is doing more than simply harming them emotionally or threatening them verbally. It may sound odd to group someone who has acted violently toward a business’ property in with someone who has threatened violence or committed violence against the business’ employees, but the law allows for this. If the violence caused by the person has a "direct impact upon the business’s operations", this may allow the business to get a temporary restraining order.

Getting A Business Restraining Order

If a business is able to show that the alleged actions are of a serious nature, then it may be in the best interest of the company to file for a temporary restraining order and possibly a permanent injunction. Any person may file for a temporary restraining order and any member of a partnership or any officer of a corporation may file such a petition for a temporary restraining order in the name of such partnership or corporation.
The first step is to file a petition in the appropriate court. Thereafter, the plaintiff will receive an order setting a hearing date for a preliminary injunction. The temporary restraining order is good for a specific period of time (such as 10 days) and at the end of that period, there will be a hearing on whether or not to convert the temporary restraining order into a preliminary injunction. The preliminary injunction may last for years or until the matter is resolved.
At the hearing, the plaintiff must provide evidence regarding the defendants conduct and why a temporary restraining order is necessary. If the judge believes that there is sufficient evidence to show that a temporary restraining order should be issued, then the preliminary injunction will be granted and an extensive hearing will take place for such injunction.
Obtaining a temporary restraining order or the issuance of a preliminary injunction will not automatically bar legal action against the defendant.

Business Problems In Getting A Restraining Order

Businesses can face a number of challenges when seeking to obtain a restraining order. A business may be required to prove a nexus between the conduct at issue and the alleged harm suffered by the business. For example, a business may not be able to show it suffered a loss of business due to a defamatory statement. A business may also be required to show a probable future injury. A mere customer or client complaint may not be sufficient. In cases of alleged illegal competition or unlawful appropriation of trade secrets, an employer may have to show some non-competition provision was violated before a Court will issue a temporary restraining order.

Cases: Businesses & Restraining Order

A couple of decades ago, a utility company needed a restraining order against an electrical contractor. The contractor had negligently caused a significant amount of property damage to the utility company. The Public Utilities Commission and the utility quickly agreed on the terms to be included in the restraining order, even though it imposed significant burdens on the contractor. The adversarial process was correctly avoided, and this resulted in a timely outcome and an accurate result.
Not always are businesses as successful as they appear to adhere closely to the procedures provided under C.R.S. § 13-14-101, et seq. to obtain a restraining order. In one case, a supplier filed a lawsuit against a construction project and also filed a motion for a restraining order . The Colorado Court of Appeals determined that the trial court not only erred in holding the hearing but also erred by granting the restraining order.
In another case, a California Appellate Court determined that a trial court has the authority to enter a temporary restraining order that lasts up to 25 days without notice to the other party. The Court determined that under the circumstances, it was appropriate to extend the restraining order.
A federal appellate court determined that a Maryland tort litigation can proceed to discovery even though a restraining order entered in the tort litigation is to expire before the tort litigation is complete, if discovery is reasonably likely to produce evidence of anti-competitive behavior or unfair trade practices by the defendant.

Lawyer Assistance With Businesses And Restraining orders

Having knowledgeable legal support is essential for businesses looking to secure a restraining order. Attorneys specializing in business law and restraining orders can provide accurate advice on the requirements and implications of this type of order. They can help to ensure that all procedures are followed properly and that the restraining order is requested for valid reasons, helping to prevent any future legal issues. Legal support is particularly helpful when it comes to dealing with multiple defamatory statements on different platforms. Your attorney will act as your liaison to the police and communicate with any relevant organizations (such as social media platforms) to bring the issue to a satisfactory conclusion. For example, those who post defamatory statements and then refuse to take them down may cause further damage to a business. In these situations, it is best to have an attorney mediate and put pressure on the offenders to delete the posts and issue a public apology to the business. As your legal representation, an attorney can direct all correspondence to you through a business address, protecting any private information from being accessed by the offender. It is strongly recommended that any business considering a restraining order seek legal advice or support before taking such action. Individuals or companies that attempt to place a restraining order against someone, expecting it to be automatically granted, could have legal ramifications.

Alternatives To Restraining Orders For Companies

Restraining orders are not the only tool in the toolbox for a business that is engaged in some sort of dispute with a customer, competitor, or employee.
Just because an order of protection is unavailable to you does not mean that you are without remedies. Just as there are alternatives to court orders, there are alternatives to restraining orders as well.
We will discuss mediation first.
Some judges also refer cases out for mediation just before a hearing or trial is scheduled. Mediation is a process in which a neutral third party attempts to bring the two sides in a dispute together. The mediator helps to identify common ground and facilitates communication. The goal is a compromise that meets the needs of both sides, but that is acceptable to neither. Mediation is always voluntary, and either party can leave at any time .
The mediator will follow up with the two sides and their counsel if necessary to ensure that there is a full understanding of what was proposed during the mediation session. But again, the mediator is not deciding anything for either party, and is not holding anybody to anything. The parties can agree on any term or condition, or can backtrack from something they promise to do.
If there is any follow-up to be done, simply make arrangements with the mediator. We can recommend a mediator for you in the Chicago area.
A business may also be able to avoid a restraining order by enhancing its security. If a threatened person cannot get into your premises, or if a threatened property cannot be accessed by anyone, that lessens the need for a restraining order. Clearly, there are several options available to most businesses. They include stronger locks, better lighting, cameras and even hiring an armed guard who has experience in dealing with situations as discussed above.