Tortious Interference & Mergers And Acquisitions

Tortious interference can take place in a variety of settings, but the most common cases involve interference with contracts, potential business relationships, or existing economic relationships. Courts only allow claims for tortious interference with contract, in the context of mergers and acquisitions, when a real breach of the contract has occurred. Under New York law, the standard test for finding if a defendant has committed tortious interference with contract is: "(1) the existence of a valid contract between plaintiff and a third party; (2) the defendant's knowledge of that contract; (3) the defendant's intentional procuring of the breach, and (4) damages."¹ Despite this bar, New York Courts will attempt to only strictly interpret these when dealing with mergers and acquisitions.²