Meaning
Judicial remedy directed against a specific individual or corporate entity rather than against property or a status is the standard mechanism to compel or prohibit specific behaviour. Applying for in personam relief requires the court to have personal jurisdiction over the defendant, allowing it to issue orders like injunctions or specific performance. This relief stops at the boundary of the court’s physical jurisdiction, as a foreign court cannot easily punish a defendant for contempt if they reside abroad.
Personal Command
Orders are enforced through the court’s power over the individual, such as the threat of fines or imprisonment for disobedience. When a shareholder is ordered to vote their shares in a certain way, the order applies to them personally regardless of where the share certificates are located. This allows the court to manage corporate behavior indirectly.
Tactical Pressure
Investors seek these orders to freeze the personal assets of a founder who is accused of fraud or asset diversion. An injunction prevents the individual from selling their property or moving money out of their bank accounts. This pressure often forces the defendant to settle the claim quickly to regain control of their funds.
Territorial Limit
Enforcement becomes difficult if the defendant has no presence or assets in the jurisdiction where the order was issued. The claimant must then go to the foreign court to seek a mirror injunction. This adds a layer of expense and delay that can reduce the effectiveness of the remedy.
