It takes a lot of hard work and dedication to build advantages in the market. You have to secure favorable contracts and develop beneficial relationships while pouncing on economic opportunities when they arise. Yet, despite your persistence and keen eye for advantages that your business can exploit, your business strategies can be dashed by the improper and downright unfair behavior of another. When third-party actions damage a contractual relationship or an economic opportunity, then you may have a claim for tortious interference.
That said, the burden is on you to raise the issue in court and aggressive advocate for the outcome that you want. And doing so may be the only way to protect your business relationships. So, let’s take a closer look at tortious interference so that you have a better idea of how to more fully protect your business.
Tortious interference with a contract
Here, a third-party, meaning someone who is not a party to the contract, intentionally acts in a way that knowingly interferes with your contractual relationship, thus causing you harm. For example, if Company A has contracted with Company B to sell automotive parts, but Company C wants to get into the business of selling automotive parts and uses its existing relationship with Company B to convince company B to breach its contract with Company A, then tortious interference has occurred so long as Company C knew of the contract and intended to disrupt it. Company A in this situation is bound to lose a lot of money when Company B breaches the contract, and that contract never would’ve been breached but for Company C’s influence and coercion.
In some instances, you may be able to argue that tortious interference with a potential contract has occurred. This is a little trickier to prove given that you have to show a reasonable probability that the contract would’ve been entered into but was prohibited by an independently tortious act on the part of a third-party, but it is possible. You shouldn’t foreclose your legal options until you’ve fully analyzed the facts and considered the avenues available to you.
The key to proving tortious interference
Showing intent in a tortious interference case is crucial. Without it, you won’t win your legal claim and the third-party in question will be free to benefit from their actions. Therefore, as you build your case, you’ll want to devote a lot of time to understanding the third-party’s justifications and motivations for acting the way that they did. Deposing key personnel from that third-party business may be helpful, and so, too, can requesting documentation relevant to the issue at hand.
However, you’ll also want to address motivating factors that caused the other party to the contract to engage in breach. Again, you may want to depose those who made that decision at the company and request production of relevant documentation.
Don’t forget damages in your tortious interference case
To recover compensation from your case and an order that prevents the third-party from benefitting from the situation, you’ll need to demonstrate that you were actually harmed by the third-party’s actions. In most instances, this will simply be financial damages caused by the breach, but there may be other harms that you can present that increase your recovery. For example, you may be able to show reputational harm to your business. Be comprehensive here so that you can achieve the full and fair outcome that you want.
Do you have questions about pursuing a tortious interference case in Texas?
If so, then now is the time to find answers. That way you can take swift legal action to protect your interests. We encourage you to read our webpages as a starting point and wish you luck in your endeavor to find deserved accountability and compensation.