Understanding Interference with Contract: Key Legal Insights
Definition & meaning
Interference with contract is a legal term that refers to a situation where one party disrupts the contractual relationship between two other parties. This disruption can lead to one party breaching the contract, resulting in damages. Essentially, it involves actions taken by a third party that intentionally and improperly interfere with the contractual obligations of the parties involved.
Legal use & context
This term is primarily used in civil law, particularly in cases involving torts. Interference with contract claims can arise in various contexts, such as business disputes, employment relationships, and personal agreements. Users can often manage these issues with the help of legal templates available through US Legal Forms, which are drafted by experienced attorneys.
Real-world examples
Here are a couple of examples of abatement:
Example 1: A business owner learns that a competitor is trying to persuade their employees to break their contracts and join the competitor's firm. If the employees leave and the original business suffers financial losses, the owner may have a claim for interference with contract against the competitor.
Example 2: A landlord who has a lease agreement with a tenant may find that a third party is encouraging the tenant to break the lease. If the tenant does so, resulting in financial harm to the landlord, the landlord could pursue a claim for interference with contract. (hypothetical example)