Opinion ID: 1246757
Heading Depth: 1
Heading Rank: 4

Heading: Question: Three. Would foreclosure pending trial cause irreparable injury?

Text: (9a) Yes. Without the execution of the trust deed, the pledge agreement would not have come into being, and the impostors would not have had the opportunity to obtain and to dissipate the corporate assets. Foreclosure pending suit would render moot any claim of right of plaintiffs individually or derivatively to have the validity or invalidity of the trust deed determined. They are asserting a right to have the deed declared void as a cloud on title, set aside as a fraudulent conveyance, and to have a constructive trust in the land and assets of the corporation declared. They would have no rights as against a bona fide purchaser for value at the execution sale. The preliminary injunction would preserve their rights in statu quo until trial on the merits.