When Can You Get an Injunction in a Commercial Dispute? A Practical Guide for Business Owners

Key Takeaways

  • An injunction is a court order that can stop someone from doing something (or force them to act) — it is one of the most powerful tools in a commercial dispute.
  • To obtain an interlocutory injunction in Australia, you must show a serious question to be tried and that the balance of convenience favours granting the order (Beecham Group Ltd v Bristol Laboratories Pty Ltd (1968) 118 CLR 618).
  • In urgent situations, injunctions can be obtained within hours — including without notice to the other party (ex parte) under UCPR r 259 in Queensland.
  • You will almost always need to give an undertaking as to damages — a serious financial commitment that you will compensate the other side if the injunction turns out to be wrongly granted.
  • Delay is fatal. If you know about the problem and wait weeks to apply, the court may refuse the injunction on that basis alone.

An injunction in a commercial dispute is the legal equivalent of pulling the emergency brake. When your former business partner is about to sell the company’s main asset, when a competitor is poaching your staff in breach of a restraint of trade, or when someone is dissipating funds before you can enforce a judgment — an injunction can stop the damage before it becomes irreversible.

This is one of the areas of commercial litigation where speed matters more than almost anything else. If you need urgent court intervention to protect your business, understanding how injunctions work — and when they are available — can be the difference between preserving your position and watching your rights evaporate.

With commercial disputes on the rise in Queensland and across Australia in 2026, and the courts increasingly willing to act quickly on well-prepared applications, this guide explains when you can get an injunction, how the process works, and what it will cost you.

What Is an Injunction in a Commercial Dispute?

An injunction is a court order that either:

  • Prohibits a party from doing something (a prohibitory injunction) — for example, restraining a former director from soliciting your clients; or
  • Compels a party to do something (a mandatory injunction) — for example, requiring the return of confidential documents.

Injunctions are an equitable remedy, meaning the court has discretion about whether to grant one. They are not automatic — you cannot simply demand an injunction as of right. The court will weigh up your case, the urgency, the potential harm to both sides, and whether damages (money) would be an adequate alternative.

In Queensland, the Supreme Court’s power to grant injunctions comes from the Civil Proceedings Act 2011 (Qld) s 9, the court’s inherent equitable jurisdiction under the Supreme Court Act 1995 (Qld) s 11, and the procedural framework in the Uniform Civil Procedure Rules 1999 (Qld) (UCPR), Chapter 8 Part 2 (rr 255A–265). The Federal Court can also grant injunctions under s 23 of the Federal Court of Australia Act 1976 (Cth) in matters arising under Commonwealth legislation, including the Corporations Act 2001 (Cth) and the Competition and Consumer Act 2010 (Cth).

When Can You Get an Injunction? The Legal Test

The leading test for interlocutory injunctions in Australia comes from the High Court decision in Beecham Group Ltd v Bristol Laboratories Pty Ltd (1968) 118 CLR 618, as refined in Australian Broadcasting Corporation v Lenah Game Meats Pty Ltd (2001) 208 CLR 199. To obtain an interlocutory injunction, you must satisfy the court of two things:

1. A Serious Question to Be Tried

You must demonstrate that there is a genuine legal issue that warrants a trial. This does not mean you need to prove your case — you need to show that your claim is not frivolous or vexatious and that there is a real question the court needs to resolve.

In practice, this threshold is relatively low for prohibitory injunctions (orders to stop someone doing something). But if you are seeking a mandatory injunction — one that requires the other party to take positive action — the court applies a higher standard. You will need to demonstrate a “high degree of assurance” that you will succeed at trial (Businessworld Computers Pty Ltd v Australian Telecommunications Commission (1988) 82 ALR 499).

2. The Balance of Convenience

This is where most injunction applications are won or lost. The court asks: will greater harm be caused by granting the injunction or by refusing it?

The court considers factors including:

  • Adequacy of damages. If the harm you will suffer can be fully compensated by money at trial, the court is less likely to grant an injunction. Conversely, if the harm is irreparable (loss of business goodwill, destruction of confidential information, dissipation of assets), an injunction is more likely.
  • Preservation of the status quo. Courts generally prefer to keep things as they are until trial, rather than allowing one party to change the facts on the ground.
  • The strength of each party’s case. While the court avoids a “mini-trial,” the relative strength of the parties’ positions can tip the balance.
  • Delay. If you knew about the conduct and waited weeks or months to apply, the court will question whether the matter is truly urgent. Delay can be fatal to an injunction application.
  • The undertaking as to damages. Can you compensate the other party if the injunction is later found to have been wrongly granted?

Types of Injunctions Available in Commercial Disputes

Not all injunctions are the same. The type you need depends on the urgency and the nature of the dispute.

Ex Parte (Without Notice) Injunctions

In genuinely urgent situations — where giving notice to the other party would defeat the purpose of the order or allow them to act before the court can intervene — you can apply without notice to the respondent. In Queensland, this is governed by UCPR r 259.

Ex parte injunctions are granted for a short period only (typically days). The court will set a return date where the respondent can appear and argue the order should be dissolved. On an ex parte application, you have a strict obligation of full and frank disclosure — you must tell the court everything, including facts that are unfavourable to your case. Failure to disclose material facts will almost certainly result in the injunction being dissolved, adverse costs orders, and serious damage to your credibility.

Interlocutory Injunctions

The most common form in commercial disputes. An interlocutory injunction preserves the position until the dispute is resolved at trial. These are typically granted after both parties have been heard and can remain in force for months while the matter proceeds through litigation.

Freezing Orders (Mareva Injunctions)

If you are concerned that a party is going to move, hide, or dissipate their assets before you can enforce a judgment, a freezing order restrains them from dealing with their assets. This is a powerful tool, particularly where there is evidence of asset shifting or offshore transfers. Boss Lawyers has written separately about freezing orders in Queensland.

Final (Permanent) Injunctions

Granted after trial as a final remedy. If the court finds in your favour, a permanent injunction can indefinitely restrain the conduct. These are the ultimate outcome, but most commercial injunction work happens at the interlocutory stage.

Common Situations Where Business Owners Need Injunctions

In our experience acting in commercial disputes across Queensland, the most common scenarios where business owners seek injunctions include:

  • Breach of restraint of trade. A former employee or business partner competing in breach of a non-compete clause. Speed is critical — every day they operate in breach causes further damage to your client relationships and goodwill.
  • Misuse of confidential information or trade secrets. A departing director or employee taking client lists, pricing data, or intellectual property to a competitor.
  • Director disputes. A director acting outside their authority, making unauthorised transactions, or attempting to remove another director improperly. Injunctions can restrain the conduct and preserve the company’s position.
  • Shareholder oppression. Where majority shareholders are diluting your interest, excluding you from management, or diverting company opportunities. Urgent relief can prevent irreversible harm while the dispute is resolved.
  • Asset dissipation. A party selling, transferring, or encumbering assets to put them beyond the reach of a potential judgment.
  • Breach of contract. Where a party is about to do something that would breach a contract and cause harm that cannot be adequately compensated by damages — for example, selling a business in breach of a shareholders’ agreement.
  • Building and construction disputes. Restraining a principal from calling on a bank guarantee, or preventing demolition or alteration of a building that is the subject of a defects claim.

What Mistakes Do Business Owners Make with Injunctions?

After acting in injunction applications for more than 17 years, the most common mistakes we see are:

1. Waiting Too Long

This is the single biggest killer of injunction applications. If you discover that a former employee is breaching a restraint of trade on Monday and you do not apply until three weeks later, the court will ask why. If the matter was truly urgent, you would have acted immediately. Delay undermines urgency, and urgency is the foundation of interlocutory relief.

2. Underestimating the Undertaking as to Damages

When you obtain an injunction, you must give the court an undertaking that you will pay damages to the respondent if the injunction is later found to have been wrongly granted. This is not a formality — it is a real financial exposure. If you restrain a competitor from operating and the court later finds you were wrong to do so, you may be liable for their lost profits during the period of the injunction. You must have the financial capacity to back this undertaking, and the court will scrutinise this.

3. Using the Wrong Lawyer

Injunction applications move fast. In urgent cases, you may have hours — not days — to prepare evidence, draft affidavits, and get before a judge. This is not work for a general practitioner who does one litigation matter a year. You need a commercial litigation lawyer who has done this before, who knows the judges, who understands the practice directions, and who can assemble a compelling application under extreme time pressure.

4. Failing to Preserve Evidence

Before you apply for an injunction, document everything. Screenshots, emails, contracts, witness statements — the court will want to see evidence that supports your claim. Once the other party knows you are taking legal action, evidence has a way of disappearing.

5. Not Making Full and Frank Disclosure on Ex Parte Applications

If you apply without notice to the other party, you have a duty to tell the court about anything that might go against your case. Hiding unfavourable facts will result in the injunction being dissolved, costs orders against you, and — worst of all — the court will not trust your evidence going forward. Courts take this obligation extremely seriously.

How Fast Can You Get an Injunction in Queensland?

Speed depends on the urgency:

  • Ex parte (without notice): In genuinely urgent cases, you can apply on the same day. The Supreme Court of Queensland has a duty judge available to hear urgent applications. If your solicitor contacts the registry and demonstrates genuine urgency, a hearing can be arranged within hours.
  • On short notice (1–3 days): Where the matter is urgent but notice can be given, the court will typically hear the application within a few days.
  • Contested interlocutory application (1–4 weeks): Where both parties need time to file evidence, the court will usually schedule a hearing within a few weeks.

The critical point: you must act immediately. Call a lawyer the moment you become aware of the conduct. Every day of delay weakens your application.

What Does an Injunction Cost?

The cost of an injunction application depends on complexity, urgency, and whether the application is contested. As a general guide:

  • Simple ex parte application: $5,000–$15,000 in legal fees (plus court filing fees).
  • Contested interlocutory application: $15,000–$50,000+ depending on the complexity of the evidence and the length of the hearing.
  • The undertaking as to damages: This is not a cost you pay upfront, but it is a financial exposure you must be prepared to bear if the injunction is later dissolved.

Against these costs, weigh the alternative: what will it cost your business if the other party is allowed to continue the conduct unchecked? In most cases, the cost of inaction far exceeds the cost of the application.

How Boss Lawyers Can Help

Boss Lawyers regularly acts for directors, shareholders, and business owners seeking and defending injunctions in commercial disputes across Queensland. Mark Harley, Principal Solicitor, has more than 17 years’ experience in commercial litigation and has acted in urgent interlocutory applications at all levels of the Queensland court system, including ex parte applications in the Supreme Court.

To get strategic advice specific to your situation, call Mark Harley directly on 1300 267 711 or contact us at bosslawyers.com.au.

Frequently Asked Questions

Can I get an injunction without the other party knowing?

Yes. In genuinely urgent situations, you can apply for an ex parte injunction under UCPR r 259 in Queensland. This is granted without notice to the respondent, but only for a short period. The court will set a return date (usually within days) where the other party can appear and argue the order should be dissolved. You must make full and frank disclosure of all material facts, including anything that might go against your case.

What happens if the injunction is granted and I later lose the case?

You will likely be required to compensate the other party for any losses they suffered as a result of the injunction. This is what the undertaking as to damages is for. If you restrained a competitor from trading and you later lose at trial, you may need to pay their lost profits for the period the injunction was in place. This is a serious financial risk that must be carefully considered before applying.

How long does an interlocutory injunction last?

An interlocutory injunction typically remains in force until the trial of the action or until the court orders otherwise. In practice, this can mean months or even years if the underlying litigation is complex. The parties can apply to vary or dissolve the injunction if circumstances change.

Can I get an injunction in the District Court or does it have to be the Supreme Court?

The District Court of Queensland can grant injunctions in matters within its jurisdiction (generally disputes up to $750,000). However, most urgent commercial injunction applications are brought in the Supreme Court because of the amounts typically at stake and the Supreme Court’s broader equitable jurisdiction. The Federal Court also has jurisdiction where the dispute involves Commonwealth legislation such as the Corporations Act 2001 (Cth).

What if I delay — can I still get an injunction?

Delay significantly weakens an injunction application. The court will question why, if the matter was truly urgent, you did not act sooner. Delay of even a few weeks can be fatal. That said, there are exceptions — for example, if you only recently discovered the conduct, or if the situation has escalated. But the safest course is always to act immediately.


This article contains general information only and does not constitute legal advice. You should seek specific legal advice tailored to your circumstances. Boss Lawyers Pty Ltd ACN 143 136 645.

Written by Mark Harley, Principal Solicitor, Boss Lawyers.

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