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Supreme Court Holds Injunctive Relief is an Equitable Remedy at the Discretion of the Court, Upholdling the Traditional Four Factor Test

Intellectual Property Department
May 16, 2006

This Client Advisory discusses the Supreme Court's Recent Opinion Affecting the Courts Discretion in Granting a Permanent Injunction.

This advisory summarizes the recent Supreme Court Decision in eBay, Inc. v. MercExchange, which held that:

  • Trial courts must apply the traditional four-factor test to grant a permanent injunction: (1) irreparable harm; (2) other remedies are inadequate; (3) the balance of the hardships warrants a remedy in equity; and (4) the public interest is not disserved.
  • Permanent injunctive relief is an act of equitable discretion.

    Client Advisory (PDF)