SUBSTANTIAL SETTLEMENT IN TORTIOUS INTERFERENCE CASE
We represented the Plaintiff in this highly unusual contingency fee tort case. Our client had an extremely high-paying career with a multinational corporation. The Defendant owned a business which did millions of dollars of business with our client’s employer. When the Defendant learned that our client was dating his former wife, he caused our client’s employer to terminate his employment. We sued the Defendant for tortious interference with a contractual relationship and invasion of privacy. We obtained a substantial confidential settlement for our client.
See More Commercial Litigation ResultsTortious Interference Attorney H. Joel Newman: Protecting Your Business Rights and Contracts.
H. Joel Newman is a highly experienced attorney with decades of success in handling tortious interference cases throughout Michigan. Driven by a passion to win for his clients, Joel has built a long history of achieving exceptional results. He has obtained numerous multi-million dollar verdicts and settlements representing plaintiffs and has successfully defended clients against significant multi-million dollar claims. At our firm, we work efficiently and strategically on our clients' behalf to maximize value and protect their interests, ensuring they receive the dedicated representation they deserve.
WHAT IS TORTIOUS INTERFERENCE?
The word "tortious" derives from the term "tort," which refers to a wrongful act or infringement of a right (other than under a contract) that causes harm to another. In simple terms, if something is "tortious," it could result in a lawsuit.
Tortious interference occurs when someone intentionally interferes with a contract or business relationship between two other people or companies. For example, if Person A and Person B have an agreement, and Person C deliberately tries to stop them from following through on that agreement, causing harm to one or both of them.
There are two types of tortious interference: tortious interference with a contract and tortious interference with prospective economic advantage.
The primary difference between the two is whether a contract exists.
TORTIOUS INTERFERENCE WITH CONTRACT
Tortious interference with a contract occurs when Person C improperly causes a breach of contract between Person A and Person B, leading to damages.
HOW HARD IS IT TO PROVE TORTIOUS INTERFERENCE WITH A CONTRACT?
Plaintiffs must show:
- There was an existing, legally binding contract between Person A and Person B.
- Person C knew about the contract.
- Person C intentionally interfered with the contract.
- The interference was improper.
- Proof of actual harm or loss as a result of the interference.
TORTIOUS INTERFERENCE WITH PROSPECTIVE ECONOMIC ADVANTAGE
Tortious interference with a prospective economic advantage occurs when Person C improperly interferes with a business relationship or an expected business transaction between Person A and Person B.
HOW HARD IS IT TO PROVE TORTIOUS INTERFERENCE WITH PROSPECTIVE ECONOMIC ADVANTAGE?
Plaintiffs must show:
- There was an existing or potential business relationship between Person A and Person B.
- Person C knew about the economic relationship or the prospective opportunity.
- Person C intentionally acted to interfere with the economic relationship or the prospective opportunity.
- The interference was improper.
- Proof of actual harm or loss as a result of the interference.
WHAT CONSTITUTES INTENTIONAL CONDUCT?
Both types of tortious interference require evidence that the actions were intentional. This means showing that either:
- The main objective of the defendant’s actions was to induce a breach of contract or disrupt the business relationship or expectation; or
- The defendant was almost sure that their actions would lead to this outcome.
Negligent or reckless behavior does not meet the criteria for tortious interference.
HOW DO YOU PROVE THAT INTERFERENCE WAS IMPROPER?
There is a thin line between tortious interference and legitimate competition. Under Michigan law, proving tortious interference requires demonstrating that the actions were intentional and improper.
Factors that may be considered include:
- The nature of the actions
- The defendant’s motives and interests
- The plaintiff’s interests
- The balance between society’s interest in protecting the actions in question and safeguarding contracts, business relationships, and expectations
- The extent to which the actions influenced the breaching party
- The nature of the relationships between the defendant, plaintiff, and third party
WHAT ARE THE LEGAL REMEDIES FOR TORTIOUS INTERFERENCE?
- Compensatory Damages – Compensation for monetary losses as a result of the interference.
- Consequential Damages – Compensation for harm beyond financial losses, such as reputational harm.
- Exemplary Damages – Punitive damages are not recoverable in Michigan. However, exemplary damages can be awarded to plaintiffs who have suffered aggravated injuries or experienced humiliation, outrage, or indignity.
- Injunctive Relief – A court order requiring the defendant to stop the improper activity.
- Rescission of Contracts – Cancel or undo any contracts entered into due to interference.
- Attorney's Fees and Court Costs – Reimbursement of the costs of bringing the lawsuit.
- Restitution – The defendant may be ordered to return any benefit or profit they gained as a result of the improper activity.
CONTACT AN ATTORNEY WHO SPECIALIZES IN COMMERCIAL LITIGATION.
If you've experienced damages from either of these types of interference, you might have grounds for a business litigation lawsuit in Michigan. H. Joel Newman has a long record of exceptional results, driven by a passion to win for our clients. Call us today at (248)723-1238 for a free consultation.