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3 Common Business Tort Cases

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The importance of business torts is simple: having a way to hold accountable those who have caused harm. Tort law can be crucial when it comes to business finances, especially if a loss occurs due to the unlawful actions of others. Business tort cases often require immediate attention; otherwise, a business may have to endure prolonged uncertain times and years of legal filings, court, and financial losses. Here are just a few of the most common types of business torts and how to approach each one:

Tortious Interference

Tortious interference is defined as intentional interference with contractual relations. Interference can happen whenever an individual intentionally attempts to or successfully damages a contractual or business relationship. This could be a third-party interference or an individual who was a part of the initial contract or agreement. Typically, this individual is looking for some financial gain or attempting financial loss to another party. A tortious interference claim requires that a plaintiff can prove the interference was intentional.

Fraud & Conspiracy

One of the most commonly understood types of business torts is fraud. However, fraud doesn’t always mean that a false statement was made by a party. It can also mean that a party intentionally omitted crucial information. Committing fraud means there was either a lie or omission of facts to have a third party make a non-fully informed decision. Sometimes, when fraud occurs, it’s more than just a single individual. If multiple parties are involved in the fraud, then conspiracy charges may also be filed. A conspiracy is whenever two or more parties act together unlawfully and could easily happen in combination with many types of business torts.

Negligent Misrepresentation

Unlike fraud, negligent misrepresentation can happen even if a party did not explicitly realize they were sharing inaccurate information. This type of tort is one of deceit. A party could make statements they wholly believe to be accurate, but without reasonable grounds to make such statements, they may have misrepresented themselves, a business, or other parties. This can be difficult to prove but can be proved if a contract, agreement, or other business decision was made when a party failed to take reasonable care to communicate information that is true or correct.

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