Friday, July 30, 2010

Economic Conditions and Unemployment Rates Weigh Against Preliminary Injunction

The court denied plaintiffs' motion for a preliminary injunction in part because issuance of an injunction would be contrary to the public interest especially in light of current economic conditions. "[T]he preliminary injunction Plaintiffs seek will require [defendant] to furlough many of its workers for at least six months, while it retools its production process. Given the state’s high unemployment rate, those workers may not be able to find interim employment, an outcome that might result in their inability to remain current on their mortgage or rent payments. And to the extent that the furloughed workers would qualify for unemployment compensation, they would further draw upon a system that is already strained to the limit."

Capital Machine Company, Inc., et. al. v. Miller Veneers, Inc., et. al., 1-09-cv-00702 (INSD July 28, 2010, Order) (Magnus-Stinson, J.)

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