A freezing order (historically known as a Mareva injunction) is an interim injunction prohibiting a potential defendant in criminal or civil litigation proceedings from dissipating assets. Typically, such an injunction is sought to preserve a defendant’s assets until a judgment can be obtained. Freezing orders can be obtained to prevent the disposal of assets within the UK or worldwide.

Freezing orders (Mareva injunctions) are court-issued interim remedies to prevent asset dissipation during litigation in England and Wales. This guide covers the 2025 procedural updates under CPR Part 25, including expanded third-party liability for banks or trusts holding respondent-controlled assets. Learn how domestic and worldwide freezing orders differ, the “balance of convenience” test, and strategies to challenge oppressive terms. For urgent applications, review our freezing order compliance checklist or explore cross-border enforcement for multinational cases. Businesses facing insolvency risks can also consult winding-up petition safeguards to align asset preservation with insolvency law.

Our London lawyers are based minutes from the High Court and can be deployed with speed as the client’s needs and case demands. We ensure that we provide the best possible outcome for our clients by conducting in depth investigation and research into the realistic prospects of a case before selecting the appropriate course of action in order to reduce time and expense.

Key Aspects of Freezing Orders (Updated 2025)

What is an Injunction? 

An injunction is a court order either prohibiting specific conduct (prohibitory injunction) or requiring certain actions (mandatory injunction). Courts typically grant interim injunctions to maintain the status quo until a full hearing or trial resolves the dispute.

Breaching an injunction constitutes contempt of court, potentially resulting in serious penalties including fines, asset seizure, or imprisonment. The court weighs the “balance of convenience” when deciding whether to grant this extraordinary remedy, requiring applicants to show that damages alone would be inadequate compensation.

For urgent freezing injunction applications or other emergency orders, specialist legal representation is essential.

What are the types of injunctions? 

The Civil Procedure Rules (CPR) codify the court’s power to grant a wide range of interim injunctions and related orders under CPR 25.1(1), providing essential tools to preserve the position of parties pending the resolution of a dispute. The most well-known is the freezing injunction, which restricts a party from dealing with or disposing of assets to prevent the frustration of a potential judgment. Courts may also grant orders requiring disclosure of the location of assets or property, either in support of a freezing injunction or as a standalone remedy, to ensure transparency and assist with enforcement.

Another powerful remedy is the search order (formerly known as an Anton Piller order), which authorises the search of a respondent’s premises to preserve crucial evidence or property at risk of destruction or concealment. The court may also make delivery up orders, compelling a party to hand over specific property or goods, often used in intellectual property or fraud cases.

Recent amendments, including the 2025 update to CPR 25, have expanded the menu of interim remedies to include imaging orders-a modern development allowing for the forensic copying of digital data, and interim declarations, as well as orders for the detention, custody, preservation, or inspection of property.

The court’s discretion is broad and flexible, ensuring that remedies can be tailored to the facts of each case and that justice is preserved pending trial. For specialist advice on securing or responding to any form of interim injunction, including urgent asset preservation or evidence protection, it is crucial to consult with experienced litigation solicitors.

What is a freezing order?

A freezing order or freezing injunction (formerly known as a Mareva injunction) is an order that is used by a creditor who is concerned that a company may sell their assets and fail to pay the amount due to the creditor. The order can freeze almost any asset including: a company bank account, property, land or investment and shares.

Which assets are covered by a freezing injunction?

A freezing injunction can apply to domestic assets (located in England and Wales) or worldwide assets, depending on the court’s jurisdiction and the case’s circumstances.

• Domestic Freezing Orders:
  Cover assets physically or legally situated in England and Wales, such as bank accounts, property, vehicles, or business assets. Courts typically grant these when the respondent resides locally or the dispute has clear ties to the jurisdiction.
• Worldwide Freezing Orders (WFOs):
  Extend to global assets, including overseas accounts, foreign property, and offshore trusts. Courts require a “good arguable case” that the respondent has significant ties to England (e.g., residency, assets, or fraudulent conduct linked to the jurisdiction). Recent rulings, such as Lakatamia v. Su, emphasize that WFOs are not automatic and demand robust evidence of cross-border dissipation risks.

Even under a WFO, courts often permit reasonable living expenses and legitimate business costs, provided the respondent discloses full financial details. For businesses, this may align with insolvency safeguards to avoid oppressive restrictions.

Practical Considerations:

• Third-party assets: Orders may freeze assets held by trusts, spouses, or companies if controlled by the respondent.
• Enforcement challenges: While WFOs are enforceable in over 150 countries via treaties, recognition varies. For cross-border disputes, consult our international litigation guide.

Under revised CPR Part 25, applicants must specify whether they seek domestic or worldwide relief, with stricter disclosure rules for foreign assets. Explore CPR compliance strategies or review HMRC asset freezing protocols for tax-related cases.

Does a loan count as an asset subject to a freezing order?

Generally, a loan obtained after a freezing order is not classified as a frozen asset, as freezing injunctions target existing assets to prevent dissipation. Borrowing new funds is typically permitted unless the loan terms violate the order’s conditions (e.g., using frozen assets as security collateral). The key exceptions & risks are:

• Security Agreements: If the respondent pledges frozen assets (e.g., property or shares) as security for the loan, this may breach the injunction by indirectly disposing of assets. Courts have penalised such conduct as contempt (JSC BTA Bank v Ablyazov).
• Fraudulent Intent: Loans designed to obscure ownership or funnel money to third parties (e.g., shell companies) may be deemed dissipation attempts.
• Post-Loan Use: Funds borrowed must be used for legitimate purposes (e.g., business operations or living expenses). Misuse, such as transferring loans to offshore accounts, risks contempt proceedings.

Respondents must inform lenders of the freezing order to avoid unintentional breaches. It is also sensible to seek pre-approval for loans tied to frozen collateral via a variation application. For companies, reckless borrowing post-freezing order may lead to wrongful trading claims.

What are the consequences of a freezing injunction?

A freezing injunction carries severe legal repercussions for non-compliance. Once granted, the order is endorsed with a penal notice, explicitly warning the respondent that breaching its terms may result in contempt of court. Contempt findings can lead to fines, asset seizures, or imprisonment for individuals (up to two years under the Contempt of Court Act 1981). For businesses, directors risk personal liability if they knowingly permit breaches, such as transferring frozen assets to offshore accounts or disposing of property.

Courts rigorously penalize actions that undermine the order’s purpose, including hiding assets, falsifying records, or failing to disclose full financial details. Recent cases, such as Holyoake v Candy (2025), highlight that even indirect breaches-like using third parties to channel funds-may trigger contempt proceedings. Third parties (e.g., banks or family members) who assist in circumventing the injunction also face penalties, including fines or injunctions against their own assets.

Beyond legal sanctions, non-compliance damages credibility in ongoing litigation and may lead to cost orders requiring the respondent to cover the applicant’s legal fees. For professionals advising on frozen assets, negligent guidance could spark professional negligence claims, particularly if mismanagement exacerbates losses. Respondents must act swiftly to seek variations for legitimate expenses through court-approved channels or risk escalating penalties.

Under 2025 procedural updates, courts now require applicants to notify respondents of the penal notice’s implications in plain language, reducing claims of misunderstanding. For businesses, overlapping insolvency risks-such as wrongful trading allegations-may arise if frozen assets prevent meeting creditor demands. Proactive compliance and legal advice are critical to navigating these layered consequences.

What are the requirements for a freezing order?

The court will exercise its discretion to grant a freezing order and must only grant the order if it convenient.

The court must establish the following conditions to grant a freezing order:

• The applicant must have a strong case. The applicant must establish that its case is capable of a serious argument.
• There must be a substantive cause of action against the defendant
• The applicant must demonstrate the risk of the asset being disposed of if the order is not put into place. Courts assess this risk flexibly (e.g., through evidence of dishonesty or past conduct)
• It must be ‘just and convenient’ to grant the order – it would cause unnecessary and disproportionate hardship to the defendant to grant the order.   

What is the procedure to obtain a freezing order?

The following documents should be completed which will be best prepared by a legal advisor to ensure the best chases in obtaining the freezing order:

• Application Notice along with evidence in support if the application.
• A draft Order – which will set out the terms for the freezing Order.
• Ancillary Orders (only sometimes needed) – this may include an order for cross-examination, delivery of passport, or order for a company receiver.

If a freezing order is then granted at a without prejudice hearing it will usually be made for a specific amount of time and a return date will be fixed for a full hearing.

Following the granting or the order it should then promptly be served by the applicant on the respondent and any third parties known, or believed to hold assets of the respondent.

At the full hearing the court will determine whether the injunction should be continued, varied or discarded.

What must be proven to get a freezing order?

Certain conditions must be met in order to grant a freezing order:

1. The applicant my have a cause of action, that is, an underlying legal or equitable right.
2. The English court must have jurisdiction.
3. The applicant must have a good arguable case.
4. The existence of assets.
5. There is a risk of dissipation.
6. The applicant must provide an undertaking in damages.

English courts require these six essential conditions for granting a freezing injunction, developed through a body of case law including Mareva Compania Naviera SA v International Bulkcarriers SA and refined in The Niedersachsen.

The applicant must establish an underlying cause of action-a substantive legal or equitable right that forms the basis of the claim. The English court must have proper jurisdiction over the case, which depends on the respondent’s domicile or the location of assets for domestic orders, and additional connecting factors for worldwide freezing orders. The applicant needs to demonstrate a good arguable case on the merits, showing a serious issue to be tried that exceeds mere speculation. Evidence of existing assets within the jurisdiction (or globally for WFOs) must be presented with reasonable specificity. The applicant must prove a real risk of asset dissipation, not merely that the respondent has the ability to move assets but would likely do so to frustrate judgment. Finally, the applicant must provide an undertaking in damages-a binding promise to compensate the respondent for losses caused by the order if the underlying claim fails. For complex commercial disputes involving potential asset dissipation, early specialist advice is crucial.

What must an applicant provide for a successful freezing order injunction appplication?

Full disclosure of all relevant information must be provided by the applicant including an undertaking in damages to compensate if it is then decided that the freezing order should not have been awarded. in some cases the applicant will also need to provide security when making an application for a freezing order.

It is important that in the disclosure the applicant provides all facts and information so that court is able to properly exercise it’s discretion. These facts include anything that could adversely affect the applicant’s own case; how long the dispute has been ongoing; and facts that the applicant or their advisors did not know but could have discovered if they made reasonable enquiries.

Elite London Injunction Lawyers

Our London Injunction Solicitors and Barristers are able to mobilise with speed and act as tenaciously as the case demands. This is one of the reasons for the firms location adjacent to the Royal Courts of Justice in Central London. We can and have obtained out of hours emergency worldwide freezing injunctions for our clients in circumstances that require overnight preparation of affidavits and even attendance upon Judges at their home address followed by immediate enforcement action and further attendance the next morning at the High Court. We ensure that we provide the best possible outcome for our clients by conducting in depth investigation and research into the realistic prospects of a case before selecting the appropriate course of action in order to reduce time and expense.

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