What is a Mareva injunction and how does it help before I get a judgment in Ontario?
A Mareva injunction — also called a freezing order — is an extraordinary pre-judgment remedy that a court can grant to prevent a defendant from dissipating or moving assets out of Ontario before a judgment is obtained. It is available in the Ontario Superior Court of Justice in the most serious cases where there is a real risk that, by the time judgment is obtained, the defendant will have stripped their assets, leaving nothing to enforce against.
To obtain a Mareva injunction, you must meet a high threshold. You must demonstrate a strong arguable case on the merits, show that the defendant has assets in the jurisdiction, and — most critically — provide evidence that there is a serious risk of dissipation of those assets before trial. The order can be obtained on an urgent, without-notice ("ex parte") basis when secrecy is necessary to prevent the defendant from immediately moving assets upon learning of the motion.
A Mareva injunction is typically broad: it freezes assets worldwide or within Ontario up to the estimated value of your claim. It must include allowances for the defendant to pay living expenses and reasonable legal fees, however. Once granted, the defendant is prohibited from disposing of or reducing their assets below the fixed threshold. Breach of the order is contempt of court.
Mareva relief is reserved for genuinely serious cases — fraud, sophisticated asset-moving schemes, or situations where the defendant has demonstrated they are moving money offshore. Costs and strategic risks are significant; get experienced legal counsel before pursuing this route.
Key takeaways
- A Mareva injunction freezes a defendant's assets before judgment to preserve them for enforcement.
- You must show a strong case, assets in the jurisdiction, and a real risk of dissipation.
- The order can be obtained urgently, without notice to the defendant, in appropriate cases.
- This is an extraordinary remedy reserved for serious cases — experienced legal counsel is essential.