New York State Labor Law Section 807 provides for injunctive relief related to a labor dispute and union organization where the judge can grant the injunction or restraining order. A condition of the court issuing the injunction is for the plaintiff to post a bond or an undertaking. The injunctive relief shall be granted upon the plaintiff who is seeking the relief, first filing an undertaking of a minimum of $1,000 and the maximum undertaking, which shall not exceed the sum of $10,000. The Judge assigned to the case will determine the appropriate amount. The undertaking shall be sufficient to compensate those who were enjoined, for any loss, damage, or expense caused by the improper issuance of the injunction. Those damages must be proven in a court under a separate action.
Essentially, if you’re going to file for an injunction or a temporary injunction under New York Consolidated Law Labor Law Section 807, you need to make sure that you have the bond, anywhere from $1,000 to $10,000, lined up ahead of time.
My office regularly freely issues these bonds without a rigorous underwriting process, given the small amounts of the bonds. Another factor that we are aware of is the cost to actually prove damages if the injunction was granted improperly. That cost would far exceed the bond amount. The plaintiff would be required to fill out a simple bond application, and pay an annual bond premium before the bond is issued.
If you need a bond, give me a call. There’s a simple application for the bond and we charge an annual premium based on the amount of the bond. Basically, almost every situation would be immediately approved for issuance. That being said, if you’re going in for Section 807, you know a bond is going to be required. I always strongly suggest contacting my office before the motion is filed. Send me an email, and we can have the bond lined up ahead of time.
PEDERSEN & SONS SURETY BOND AGENCY, INC.
15 Maiden Lane Suite #800
New York, NY 10038
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