A temporary restraining order (TRO) is an emergency court order that immediately stops a party from certain actions pending a full hearing. In Texas, TROs are used to prevent imminent, irreparable harm to a business while the legal process unfolds. For example, if a competitor or former employee is about to expose your confidential data or violate a non‑compete agreement, a TRO can quickly bar that conduct.
The goal is to preserve the status quo and buy time until the court can consider a more permanent injunction. Under Texas law, an injunction (including a TRO) is warranted when a plaintiff can show that “irreparable injury” is threatened to their real or personal property. By halting harmful acts (such as trade-secret theft, breach of contract, or misuse of company assets) before they occur, a TRO protects your company’s interests until a judge can decide on longer-term relief.
When to Use a TRO in Business Disputes
In business disputes, TROs are most useful in time‑sensitive situations where waiting for a normal lawsuit could cause permanent damage. Some common examples include:
- Trade-Secret or IP Misappropriation. If a former employee or competitor is about to disclose or use your trade secrets or confidential information, Texas’s Uniform Trade Secrets Act expressly allows the court to enjoin actual or threatened misappropriation. In practice, a TRO can immediately bar a person from using or sharing proprietary formulas, client lists, or other secret data while you litigate ownership.
- Non-Compete/Non-Solicit Violations. When an ex-employee breaches a valid non‑compete or non‑solicitation agreement, injunctive relief is often the only effective remedy. Texas law specifically authorizes a court to grant damages, injunctive relief, or both for the breach of a covenant not to compete. A TRO can stop a departing employee from soliciting clients, using proprietary information, or opening a competing business until the non‑compete is fully litigated.
- Intellectual Property Infringement. If a competitor or vendor begins to copy your trademarked products, copyrighted material, or branded assets, a TRO can halt sales or distribution of the infringing goods. The urgent need to stop infringement and prevent consumer confusion often justifies emergency relief.
- Contractual and Fiduciary Breaches. When a party’s imminent breach of contract (such as diverting a key customer or misuse of partnership assets) would destroy the value of your business deal, a TRO can keep the parties from acting until the courts sort out the dispute. Similarly, if a fiduciary (like a partner or officer) threatens to sell company property or misuse funds, a TRO can restrain those acts before they inflict irreparable harm.
- Other Urgent Threats. Any situation where waiting for trial would allow harm that cannot be undone is a candidate for a TRO. This might include critical equipment being removed from a job site, imminent termination of essential services, or acts of fraud that would ruin customer trust.
In each scenario, the key question is whether the plaintiff faces harm that is immediate and cannot be remedied later by money or by damages. Texas courts look for a strong nexus between the TRO request and “irreparable injury” to the business. If the facts are urgent enough, the court may grant a TRO to stop the wrongful behavior right away, even before the defendant has a chance to respond.
How to Obtain a Business Dispute TRO
Getting a TRO in Texas involves a fast, rule-driven process. Because the stakes are high, courts impose strict requirements. The main steps are:
- Prepare a Verified Petition or Motion. You (through your attorney) must file a lawsuit or motion in the appropriate Texas court (usually district court) and include a sworn petition (or affidavits) detailing the factual basis for the TRO. Texas Rule of Civil Procedure 680 requires that specific facts be shown under oath indicating that “immediate and irreparable injury, loss, or damage will result” before the other party can be heard. In practice, this means explaining exactly what harm is about to occur (e.g. disclosure of trade secrets, breach of agreement, etc.) and why waiting for normal notice would allow that injury.
- Show Immediacy and Irreparable Harm. You must convince the judge that the harm is imminent and cannot be fixed later. For example, you might provide evidence that a business partner has already started transferring assets or that a competitor has copied proprietary designs. Because a TRO is often granted ex parte (without the defendant’s prior notice), the applicant must show by affidavit that giving notice to the defendant would itself cause the threatened harm. If a judge is satisfied that “an emergency exists” and irreparable loss is likely, they may issue the TRO on the spot.
- Post Security (Bond). Texas Rule of Civil Procedure 684 requires the plaintiff to post a security bond when obtaining a TRO. The bond (typically with two sureties) must be sufficient to compensate the defendant if the TRO later proves wrongful. In other words, if the TRO is later dissolved, the defendant can recover costs or damages from the bond. The court will set the bond amount based on the likely harm to the defendant. In very rare cases (like some government enforcement actions), the bond might be waived, but for most business disputes you should be ready to secure a bond.
- Define the Order Carefully. If granted, the TRO must clearly describe what is restrained and why. Texas rules require the order to state the reasons for issuing it and to define in detail the acts restrained (it cannot simply refer to your petition). In practice, the TRO should specifically list the prohibited actions (for example, “Defendant shall not contact any of Plaintiff’s customers or use Plaintiff’s trade-secret information”). This precision helps avoid confusion and ensures the order is enforceable against only those parties who are bound by it.
- Set Hearing for Temporary Injunction. When a TRO is granted without notice, Texas rules mandate that a hearing on a temporary (preliminary) injunction be scheduled immediately. The TRO itself is short-lived (at most 14 days by law). The court “shall set [the TRO] down for hearing at the earliest possible date” for a temporary injunction. At that hearing, you will have to present evidence again (this time with the other party present) to convince the judge to extend the injunction until trial.
- Serve the Order on the Defendant. Finally, the TRO (and notice of the upcoming hearing) must be officially served on the restrained party. An ex parte TRO is only effective if the defendant eventually gets notice by personal service or other permissible means. Once served, the defendant will have an opportunity to contest the order at the injunction hearing.
By following these steps with the help of a lawyer, you comply with Texas’s strict TRO rules. If any requirement is missed (for instance, failure to file a sworn petition or to post bond), a court may deny relief. On the other hand, a properly obtained TRO can immediately freeze the situation, preventing any further erosion of your rights while the court evaluates your underlying case.
Work with an Experienced Business Attorney
Obtaining a TRO is legally complex and carries high stakes, so it is critical to work with an attorney experienced in Texas business litigation. A skilled lawyer will know how to persuasively document the urgency of your case. They can gather and present evidence under oath showing the likelihood of irreparable harm, and will craft the verified pleadings to meet Texas Rule 680’s exacting standards. An attorney also understands how to set a fair bond amount to satisfy Rule 684.
Moreover, a Texas business litigator will help you anticipate and prepare for the upcoming injunction hearing. Since a TRO without notice is only a temporary fix, your lawyer will use the breathing room to gather more proof and continue developing your case toward a temporary or permanent injunction. They will advise you on issues such as venue (the case must typically be filed where the defendant resides or does business) and how to enforce the TRO once it’s in effect. They can also help avoid procedural pitfalls (such as unnecessary delays or overbroad restraining language) that could jeopardize your relief.
In short, Texas courts require precision. An injunction order must specifically describe the prohibited acts and set a trial date. An attorney can ensure your TRO order meets all legal requirements and stands up to scrutiny. For Texas business owners, the cost of an emergency motion may be far less than the irreversible losses a prevented TRO could save. The right lawyer will move quickly, often within hours, to file the necessary documents and argue for the order, maximizing the chances that your company is shielded from immediate harm.
Transitioning from TRO to a Preliminary or Permanent Injunction
Remember that a TRO is very short-lived. In Texas, it automatically expires after 14 days (unless extended by consent or the court for another 14 days). Thus, a TRO is only the first step. To maintain protection beyond that, you must convert it into a temporary (preliminary) injunction and ultimately seek a permanent injunction.
Once the TRO is in place, the court will hold a preliminary injunction hearing with both sides present. At this hearing, you must again demonstrate that you will likely win on the merits and that the threatened harm truly is irreparable. Under Texas law, no preliminary injunction may be issued without notice to the other party, and the court must set a trial date for deciding the case on its merits when granting a temporary injunction. In practice, this means that the judge will usually require full briefing and evidence from both sides and will appoint a near-term trial or final hearing.
If the court finds in your favor at trial, it can grant a permanent injunction, which has no expiration date. A permanent injunction is based on the full record of the case and effectively enforces your legal rights on a lasting basis. Even if you do not get a permanent injunction, the TRO’s purpose was to prevent irreversible damage. By the time of the full trial, that issue will have been stabilized so you can seek monetary or other relief.
Throughout this process, the standards remain rooted in equity and Texas law: showing entitlement to relief and the necessity of restraining wrongful acts. But remember, each step requires its own proof. A TRO can be granted on a limited showing because it is emergency relief. A preliminary or permanent injunction requires a more thorough demonstration of your rights. This transition period is another reason it’s vital to have legal counsel – you must prepare for a fast-track hearing while also building the full case that will be decided later.
Key Takeaway: A TRO is a powerful tool to immediately stop harmful conduct against your business. Texas law provides it when urgency demands it. If you face an urgent threat, such as a competitor violating a non-compete, a leak of trade secrets, or any act that could deal your company irreparable injury, consider seeking a TRO. Acting quickly (and with a qualified attorney) can lock in your company’s rights while the legal process runs its course..