What is an Injunction Bond?
An injunction bond protects a defendant against losses incurred as the result of an injunction that is later found to have been wrongful. An injunction is a court order that restricts actions or conduct. Injunctions are often used to stop individuals or entities from doing things, such as building or demolition. A short-term injunction is called a temporary restraining order. Courts routinely decline to issue injunctions unless plaintiffs post injunction bonds. Collateral is often required for injunction bonds.
