Tortious interference is a common type of business tort. It happens if a third party purposefully undermines your business. Specifically, they cause trouble or interfere with your operations and damage your relationship with a partner, client or other similar party.
How to prove tortious interference
Simply interrupting a business is not always tortious interference. Below are five key elements you need to prove for a tortious interference claim:
- You have a valid contract or a reasonable expectation from the relationship: Many tortious interference cases involve a legitimate business contract. However, it can also happen even if you’re only in discussions to do business in the future.
- The third party knows about the contract or expectation: The third party must know about your business relationship before approaching your partner or client.
- There is a deliberate intent to interfere: You need to show that the third party intentionally wanted to disrupt your business.
- The third party committed wrongful acts or interference: It’s also crucial to prove that the other party acted wrongfully or unjustifiably, with the understanding that their deliberate actions would harm your business.
- Your business suffered actual or prospective damages: You need to prove that your company sustained either actual financial loss or future opportunities that may have led to profits.
Examples of tortious interference
A breach of contract may happen thanks to tortious interference. For example, the third party may convince your business partner to work with them instead, even if you already have an exclusive contract.
Another example is if an outside party lures away your prospective supplier. They can do this through advertisements or online posts defaming your products or entire business. Even if you’ve only had discussions or a handshake agreement, such actions may still count as tortious interference.
Making a tortious interference claim
It can be challenging to prove that a third party committed tortious interference. This is especially true if you do not have a signed contract yet. Legal assistance may help strengthen your case. If you believe your business experienced tortious interference, it is best to consult a legal professional to learn more about your options and take the proper steps going forward.