Tortious Interference: Protecting Contracts And Business Relationships
Tortious interference is a legal concept that addresses situations in which one party wrongfully disrupts another party’s existing contract or business relationship. The rule seeks to balance fair competition with the safeguarding of economic interests. In this article, the Dayton, OH, business torts attorneys at Kohl & Cook Law Firm, LLC, will discuss the concept of business torts and how to protect your business relationships.
What are the elements of a tortious interference claim?
To establish a claim of tortious interference in Ohio, a plaintiff will typically need to demonstrate:
- The existence of a contract or reasonable expectation of a business relationship – Can range from a formal written agreement to a well-established and mutually beneficial business partnership.
- The defendant’s knowledge of the contract or relationship – The interfering party must have been aware of the existing contract or business relationship.
- Intentional interference – The interference must be deliberate. The plaintiff must establish that the interference was intentional.
- Improper interference – The defendant’s conduct must violate fair competition or be unjustified.
- Causation – The defendant’s actions must have directly led to the breach or the disruption of a contract or relationship.
- Damages to the plaintiff – The plaintiff must establish that they have suffered quantifiable financial losses as a result of the interference.
Two types of tortious interference
Tortious interference claims fall into two categories: Interference with contractual relations or interference with prospective economic advantage.
The first category refers to a third party causing the breach of an existing contract. The second category concerns interference with a potential business relationship or opportunity. The second category does not require a valid contract.
What are some potential defenses to tortious interference?
Justification is a defense to tortious interference. You can argue that your actions were justified through fair competition. In addition, you can claim privilege, lack of intent, the absence of a valid contract or relationship, or the lack of quantifiable damages suffered by the plaintiff.
Protecting your interests
There are numerous ways to protect yourself from a tortious interference claim. These include utilizing clear contracts, non-compete and non-disclosure agreements, building strong relationships, and educating employees on ethical practices. You should also have a business litigation attorney to help you avoid, file, and defend tortious interference claims.
Find a business torts lawyer in Columbus, OH
If you suspect your business is sustaining economic losses due to tortious interference, you should consult with a qualified Columbus business torts attorney. We can help you assess the situation, determine the viability of your claim, and understand how to protect your interests. Call our office today to schedule an appointment, and we can begin addressing your concerns right away.
