Legal Question in Business Law in California
How does ''injunctive relief'' work?
Hello. I'm about to enter into a Settlement Agreement with a previous employer regarding a civil action. In the Agreement it states that either party may seek ''injunctive relief'' from the court if either party does not pay and/or adhere to the Agreement. What does this mean exactly?
If you accept the Agreement, but you don't have the money to pay the amount agreed, but had to agree to keep from going to trial, what actually takes place when the other party seeks ''injunctive relief'' from the court? Does this mean they go to small claims court and sue for non-payment of the agreement amount? Or would they file a Breech of Contract? Would this also take place in small claims court for an amount of $2500.00? How would the court then enforce the agreement? I have no assets, earn about $12.00 per hour and am the sole provider for 2 children.
Thank you in advance for your assistance.
3 Answers from Attorneys
Re: How does ''injunctive relief'' work?
Injunctive relief is used to -prevent- someone from doing something. If you don't pay, I don't see how injunctive relief would benefit the employer. A settlement can be enforced either by going back to the court in which the action was pending under Code of Civil Procedure � 664.6, or by filing a new action for breach of agreement. Oftentimes, bankruptcy can eliminate a debt as well, depending on the nature of the debt.
Re: How does ''injunctive relief'' work?
It depends if there is a written settlement agreement pursuant to an already filed lawsuit or just a settlement agreement based upon a contract. If you need assistance, please contact our office.
Re: How does ''injunctive relief'' work?
Injunctions typically govern conduct and not money. If your settlement has clauses which require you to maintain secrets, to refrain from competing with the employer, to hand over specific property, etc. and you breach or seem likely to breach that part of the agreement, then the employer can obtain a court order requring you to comply. You would have the same right against the employer if it failr to comply with such a term.
If your agreement requires you to pay money and you are unable to do so, then the bank's remedy is to obtain a judgment (your settlement agreement probably says they can do this) and execute against it. There is no need for an injunction to resolve a failure to pay on a judgment, since the judgment itself is a court order requiring payment.
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