Opinion ID: 2215298
Heading Depth: 1
Heading Rank: 4

Heading: was golden judicially restrained from maintaining his 1974 action against the respondents?

Text: A temporary restraining order issued on February 5, 1971, was the basis of the trial court's finding that Golden's action must be dismissed. The order restrained and enjoined Golden from interfering in the business affairs of Oahe and particularly in the sale of corporate assets to Cannon. With this temporary restraining order, Judge Miller signed an order setting a hearing on the corporation's request for a preliminary injunction enjoining Golden from the same activities curtailed by the temporary restraining order. The hearing was scheduled for February 19, 1971; the parties have acknowledged that the hearing was never held. The temporary restraining order was issued pursuant to SDCL 21-8-11 which provides: If the court or judge deems it proper that the defendant, or any of the several defendants, should be heard before granting the interlocutory injunction, an order may be made requiring cause to be shown, at a specified time and place, why the injunction should not be granted, and the defendant may, in the meantime be restrained. (Emphasis supplied) It is clear that the above statute contemplates restraining a defendant only until the time set for hearing on the application for an injunction. The recognized purpose of a temporary restraining order is to suspend proceedings until the court can determine whether an injunction should issue. Becker v. Becker, 1975, 66 Wis.2d 731, 225 N.W.2d 884; Beers v. City of Watertown, 1920, 42 S.D. 441, 176 N.W. 149. Upon grant or refusal of the injunction, the temporary restraining order terminates automatically. Id. Although there is no proof on the record that the injunction requested by Oahe was granted or refused, a finding that the temporary restraining order remained in effect for more than three years ignores the inherent limitations of such an order. The temporary restraining order issued against Golden was effective only until the date set for hearing, February 19, 1971. When that date passed without action on the request for an injunction, the temporary restraining order terminated by operation of law. It had no legal effect at the time Golden instituted his action against these respondents and therefore could not bar him from maintaining this action.