Partnership for the Good of Your Business

What is tortious interference?

On Behalf of | Aug 9, 2021 | Litigation |

At some point as a business owner, you may come across tortious interference. This is a serious situation that will require litigation to clear up.

According to FindLaw, tortious interference is when someone interferes with a contract you have with another party for the purpose of harming you financially. It can occur in a variety of ways, but it must always involve the intention to cause harm.

How it happens

To have the interference happen, a third party needs to get another person to break a contract with you. This may happen by force or by enticing the person to take action. Usually, though, it occurs when the third party is trying to get the person to sign a contract with them instead of you by telling them they offer something better. However, sometimes it involves threats to the person.

Elements of the act

Besides requiring the intent to cause harm, a tortious interference requires you to suffer a loss of some kind due to the actions. There also has to be actions taken. It cannot be just someone who has thought or threatened interference. There also needs to be a valid contract in place or expected to be in place. You will have to prove the third party was aware of the contract situation between you and the other person.

The court will have to look at the whole situation. It will require proof of the contract and who had reason to know it was in place and of the intent to cause harm. You also need to show the loss you incurred because of the actions.

Archives

FindLaw Network