Interlocutory hearing
Sec. 7. (a) At any time before the final hearing in a public lawsuit,
the defendant may petition for an order of the court that the cause be
dismissed unless the plaintiff posts a bond with surety to be approved
by the court. The bond must be payable to the defendant for the
payment of all damages and costs that may accrue by reason of the
filing of the lawsuit if the defendant prevails.
(b) A hearing shall be held on a petition described in subsection
(a) in the same manner as the hearing on temporary injunctions under
IC 34-26-1. If, at the hearing, the court determines that the plaintiff
cannot establish facts that would entitle the plaintiff to a temporary
injunction, the court shall set the amount of bond to be filed by the
plaintiff in an amount found by the judge to cover all damage and
costs that may accrue to the defendants by reason of the pendency of
the public lawsuit in the event the defendant prevails.
(c) If the plaintiff does not file a bond with sureties approved by
the court within ten (10) days after the order to do so is entered, the
suit shall be dismissed.
(d) Either plaintiff or defendant may appeal an order to post or
deny bond to the Indiana supreme court within ten (10) days by
notice of appeal and a statement of error in the same manner as is
provided in a petition for mandate or prohibition. The supreme court
may:
(1) stay the lower court order pending its own decision;
(2) set a bond to be filed by the plaintiff;
(3) modify the order of the lower court; or
(4) enter its order as a final order in a case.
(e) If no bond is filed as provided in this section:
(1) the public lawsuit shall be dismissed; and
(2) no court has further jurisdiction of the public lawsuit or any
other public lawsuit involving any issue that was or could have
been raised.
(f) This section does not create, nor shall it be construed as
creating, any additional cause of action on the part of any municipal
corporation, person, partnership, limited liability company, or
corporation, unless the defendant is required to and does post bond.
As added by P.L.1-1998, SEC.8.
Last modified: May 24, 2006