A New York judge Thursday issued a temporary restraining order barring troubled solar developer SunEdison Inc. from making any unusual moves with its assets pending a showdown with unhappy investors in a Latin America venture.

The temporary restraining order, or TRO, from New York Supreme Court Justice Charles E. Ramos will stay in place until a Feb. 25 court hearing in a lawsuit brought by investors in Latin America Power Holding B.V. against SunEdison in connection with its failed buyout of Latin America Power.

The TRO bars SunEdison, its holding company and Terraform Power Inc. affiliate from "concealing, transferring or removing their assets, accounts or other property that may be subjected to attachment," except for fair value and in the ordinary course of business, court papers show.

Justice Ramos said he didn't want to interfere with SunEdison's ability to operate its business as usual but wanted a temporary standstill on actions that are out of the ordinary, according to a person present at the hearing in the New York Supreme Court.

A spokesman for SunEdison wasn't immediately able to comment Thursday on the ruling, which grew out of legal action initiated by shareholders in Latin America Power, a developer of alternative power projects in Chile and Peru that SunEdison had agreed to buy.

After the deal fell through, Latin America shareholders initiated arbitration and ultimately turned to the New York court, afraid SunEdison's mounting financial troubles create a risk that it won't be able to cover a potential $150 million loss in arbitration.

A SunEdison spokesman has said the lawsuit's allegations are "without merit."

Write to Peg Brickley at peg.brickley@wsj.com

(END) Dow Jones Newswires

February 11, 2016 15:15 ET (20:15 GMT)