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Wrongful Interference With A Business Relationship Example In Cook
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Multi-State
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Cook
Control #:
US-000303
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FAQ
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.
For example, if a competitor spreads false rumors about a business to intentionally harm its reputation and steal customers, it could be considered wrongful interference with a business relationship.
Proving Tortious Interference A business relationship, or potential for one, existed with another party, whether contractual or advantageous. The defendant (who interfered) knew about the relationship. The defendant purposely and unjustly interfered with or disrupted that relationship.
Examples of tortious interference include inducing a third party to breach a contract, spreading false information about a business or product, or stealing confidential business information.
Tortious interference with prospective or anticipated contractual relations is defined in Section 766B of the Restatement (Second) of Torts as: “Inducing or otherwise causing a third person not to enter into or continue the prospective relation or (b) preventing the other from acquiring or continuing the relation.”
Some examples of improper conduct are the use of fraud or misrepresentation, trade libel, trademark infringement, blackmail, economic pressure, initiating civil lawsuits or criminal prosecutions, and even physical violence.
Tortious interference with business relationship is a similar claim that typically arises when no valid contract exists and a defendant intentionally interferes with the business relationship between a third party and the plaintiff, resulting in damages to the plaintiff.
A more thorough explanation: Interference with a business relationship is when someone intentionally disrupts or damages a business relationship between two parties. This can be done through various means, such as spreading false information, making threats, or offering bribes.
Tortious interference with a business relationship An example is when a tortfeasor offers to sell a property to someone below market value knowing they were in the final stages of a sale with a third party pending the upcoming settlement date to formalize the sale writing.
Broadly speaking, interference in a legal setting is wrongful conduct that prevents or disturbs another in the performance of their usual activities, in the conduct of their business or contractual relations, or in the enjoyment of their full legal rights.