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Wrongful Interference In A Business Relationship In Clark
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Multi-State
County:
Clark
Control #:
US-000303
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FAQ
Some examples of actionable interference may include convincing a shared supplier to renege on a contract or a third party interrupting the sale of property to a business.
Tortious interference is a common law tort allowing a claim for damages against a defendant who wrongfully and intentionally interferes with the plaintiff's contractual or business relationships. See also intentional interference with contractual relations .
Understanding Wrongful Interference Wrongful Interference with an Existing Contract: This happens when a third party knowingly causes one party to breach a legally enforceable contract. For example, persuading a supplier to break an exclusive distribution agreement to favor a competitor qualifies as interference.
Explanation. Wrongful interference with a business relationship requires three elements: 1) the third party must have knowledge of the business relationship, 2) the third party must act intentionally with the purpose of disrupting that relationship, and 3) the interference must be wrongful or improper.
51 The tort of unlawful interference with economic relations is established where a plaintiff suffers economic loss resulting from a defendant's unlawful act against a third party, intended to target the plaintiff: A.I.
Basically, if someone interferes in your business, if someone prevents you from conducting business, you can sue that person to recover for the harm you suffer. And this can be powerful in todays real estate market.
Interfering or obstructing a public business establishment is a misdemeanor level offense. Those convicted of this offense can be sentenced to 90 days in jail, community labor or community service, expensive court fines and any other conditions of probation that a judge may consider suitable.
If a non-contracting person wrongfully interferes with your business relationships (handshake or formal agreement), with an intent to cause economic harm, you may have tortious interference claims against the person.
As an example, someone could use blackmail to induce a contractor into breaking a contract; they could threaten a supplier to prevent them from supplying goods or services to another party; or they could obstruct someone's ability to honor a contract with a client by deliberately refusing to deliver necessary goods.