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ARTICLE · 30 MAY 2022

What Is "tortious" Interference With A Contract?

Tortious interference with a contract occurs when a party improperly disrupts a contractual relationship between other parties.

United StatesCorporate/Commercial Law

Tortious interference with a contract occurs when a party improperly disrupts a contractual relationship between other parties.  A business has a claim for tortious interference with contract when it can show: (1) the existence of a valid contract; (2) the defendant's knowledge of that contract; (3) that the defendant intentionally caused a breach of that contract without justification; and (4) resulting harm.  The first element makes clear that a plaintiff must show an existing  contractual relationship, not a prospective  one.  A separate claim exists for tortious interference with a prospective economic relationship. 

Litigation over tortious interference with a contract most often focuses on whether the defendant unjustifiably  caused a contractual breach.  Courts are careful to distinguish between legitimate competition and tortious interference with a contract.  Ultimately, for a defendant to be held liable, its conduct must go beyond typical ethical

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