Indiana Injunction Bond

An Indiana Injunction Bond is required when a party seeks a temporary restraining order (TRO) or preliminary injunction in a civil court case. According to Indiana Trial Rule 65(B), no restraining order or preliminary injunction can be issued unless the applicant posts security as determined by the court. The bond protects the opposing party by ensuring they can recover costs and damages if they are later found to have been wrongfully enjoined or restrained. Note that certain statutory exceptions exist (such as civil protection orders under Indiana Code § 34-26-4-2(b)) where bonds may be waived.

An Indiana Injunction Bond covers costs and damages suffered by a party who is wrongfully enjoined or restrained by a TRO or preliminary injunction. This can include lost business income, lost commissions, attorney fees, and other financial losses directly resulting from the improper restraint. If the court later determines that the injunction should not have been granted, the restrained party can make a claim against the bond to recover their documented losses up to the bond amount.

The bond amount for an Indiana Injunction Bond is not fixed—it varies based on the specific case. Under Indiana Trial Rule 65, the court has discretion to set the bond amount "in such sum as the court deems proper" to cover costs and damages that may be incurred if the party is wrongfully enjoined or restrained. The amount is typically based on the potential harm or damages the restrained party might suffer, which can range from a few hundred dollars to tens of thousands depending on the circumstances.