Tortious interference happens when someone purposely disrupts another business’s contracts or relationships, causing financial problems. These claims can lead to expensive lawsuits and damage to a company’s reputation. Taking steps to prevent this can protect your business.
Understand tortious interference
Tortious interference includes two types: interference with a contract and interference with business relationships. Interference with a contract means actions that cause a contract to be broken. Interference with business relationships involves stopping two parties from starting or continuing a business connection.
Don’t make false statements
Businesses should not make false or negative statements about competitors. Misleading claims can lead to legal issues and tortious interference claims. Focus on promoting your own products or services instead of criticizing others to stay out of trouble.
Follow existing contracts
Respect the contracts between other businesses and their partners. Avoid convincing someone to break a contract for your benefit. Before working with a new partner, check to make sure no contracts could cause conflicts.
Review marketing and advertising
Aggressive marketing can sometimes lead to tortious interference claims. Make sure your advertising follows the law and doesn’t use unfair tactics. Getting legal advice on marketing plans can help avoid problems.
Keep good records
Save clear records of communications and agreements. These records show your intentions and can prove you didn’t try to disrupt another business’s relationships or contracts.
Build ethical business practices
Taking steps to avoid tortious interference makes your business stronger. By acting ethically, businesses build trust, avoid legal problems, and maintain good relationships. Knowing the rules helps businesses succeed while staying compliant.