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Competition in business dealings is a common occurrence. But some actions, called tortious interference, cross the line of what the law permits third parties to do when others have oral or written agreements. Here’s how a business attorney can protect your enterprise from unscrupulous competitors.

What’s Tortious Interference?

Tortious interference is a legal claim to assert when a third person stops or interrupts your business contract or relationship with someone. Interference can occur in your existing contracts or in efforts to create a contractual relationship. Types of tortious interference include threats, bribes, and blackmail, as well as rewards for breaking contracts or refraining from making agreements.

What Are the Elements of a Tortious Interference Claim?

business attorneyTo prove a claim, you must show how someone disrupted your existing or potential agreement and how their actions harmed you. The interfering person must know the contract exists, and their actions must be intentional and done in an improper method with an unscrupulous motive.

For example, you and your competitor across the street own coffee shops. The competitor contacts your bean supplier and pays them to delay your deliveries. The delays leave you without coffee, so your customers go to your competitor. The competitor has committed tortious interference.

What Damages Can I Seek?

Damages for interference with a business relationship may include compensation for present and future economic losses. Business attorneys evaluate circumstances to determine which types and amounts of damages to seek. Your harm may also result in a breach of contract claim against the person who breached your agreement based on the third person’s interference. The recoverable damages depend in part on the contract’s wording.

 

If you suspect someone is interfering with your business relationship, get advice from the Law Office of Dawn N. Murata LLLC, in Lihue, Hawaii. Attorney Murata has over 20 years of experience, and she and her team specialize in contractual business law. Call (808) 245-4572 to schedule a consultation with this business attorney, or learn more about the firm’s services online.

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