A Threat to Vital Business Relationships

Business relationships built on trust and contractual commitments are essential. Unfortunately, competitors, disgruntled third parties or employees sometimes intentionally interfere in a contract or a business relationship. This almost always results in significant damage. Such surreptitious actions lead to financial loss, damaged reputations, and severely strained client relationships.

Standards and litigation

These situations do not resolve themselves and by the time they are caught, damage has usually already occurred. Left unchecked, it won’t get any better. When another company or an individual interferes with a contract of an important business relationship, the repercussions can be catastrophic, derailing entire business strategies or permanently damaging key relationships.

Even seemingly minor interference can accumulate over time, gradually eroding trust and diminishing the goodwill your business has worked diligently to establish. At Hopkins Centrich, we understand the gravity of these issues and proactively handle tortious interference claims. Our approach is aggressive and strategically tailored, helping secure your business relationships while recovering meaningful damages to restore and safeguard your competitive advantage.

Understanding Tortious Interference Under Texas Law

Tortious interference isn't always blatant. Often, it emerges through subtle, indirect actions carefully concealed to avoid suspicion. Recognizing these subtle signals of interference is critical, as is clearly understanding how Texas courts evaluate such claims.

In Texas, successfully proving a claim of tortious interference requires demonstrating:

  • A valid contract or a reasonably probable business relationship existed.
  • The interfering party was aware of this relationship.
  • Intentional and malicious interference by the third party.
  • Actual economic harm or measurable damages directly resulting from this interference.

These elements must be supported by concrete evidence, reinforcing the importance of rapid and strategic action at the earliest suspicion of interference.

Common Examples of Interference

Real-world scenarios of tortious interference vary widely, but each can significantly harm your business if not swiftly addressed. At Hopkins Centrich, we frequently encounter scenarios such as:

  • Competitors actively persuading key customers or suppliers to breach existing contracts, undermining essential business relationships.
  • Former employees leveraging confidential proprietary information to sabotage ongoing negotiations, poach clients, or compromise strategic business plans.
  • Parties spreading false or defamatory information about a business to disrupt prospective deals or damage client trust.
  • Competitors using unethical incentives, including bribes, threats, or undue pressure, to induce contract breaches or otherwise disrupt beneficial business relationships.

For instance, in a recent case, a closely held business faced significant damages when a former executive improperly disclosed proprietary bidding information to a competitor, resulting in the loss of a critical multi-million-dollar contract. This ‘tip off’ was hardly overt but was fortunately uncovered. This underscores the subtle but devastating nature of interference.

These examples are just a snapshot. Given human ingenuity (and nature, for that matter) and competitive pressures, interference takes numerous forms. Early recognition and action are key. Consulting with seasoned attorneys at Hopkins Centrich ensures effective intervention before interference escalates further.

How Texas Courts Evaluate Claims

Proving tortious interference in Texas courts can be challenging. Courts require compelling, detailed evidence that clearly connects interference to measurable business harm. The challenge lies in demonstrating the interferer's intent and the direct causation between their actions and your losses.

Hopkins Centrich helps you navigate these complexities, meticulously assembling critical evidence such as:

  • Communications clearly showing intent, awareness of contracts, or malicious interference.
  • Detailed financial documentation and analysis clearly showing direct economic harm, including lost profits, disrupted business relationships, and market position damage.
  • Credible testimonies from affected clients, business partners, or industry experts clearly illustrating the interference and its impact.

Our strategic approach to evidence collection ensures a persuasive and compelling case presentation in court.

Remedies Typically Secured

Legal remedies for tortious interference focus not only on immediate recovery but also on deterring future misconduct. At Hopkins Centrich, we routinely secure comprehensive remedies, including:

  • Compensatory Damages: Covering lost profits, diminished market opportunities, and the costs associated with restoring damaged business relationships.
  • Punitive Damages: Awarded in cases of particularly malicious or egregious interference, intended to punish wrongdoers and discourage similar future misconduct.
  • Injunctive Relief: Swift court orders immediately halting ongoing interference, preventing further harm, and protecting your ongoing business operations.
  • Recovery of Attorney’s Fees and Costs: Often awarded in cases demonstrating clear malicious intent or significant financial harm.

Litigation Strategies

At Hopkins Centrich, our litigation philosophy emphasizes assertive courtroom advocacy combined with strategic negotiation and mediation. Initially, our focus often involves securing immediate injunctive relief to stop ongoing harm.

We then leverage this immediate protection to negotiate favorable settlements, balancing litigation strength and negotiation finesse. Our attorneys are skilled at achieving efficient resolutions that minimize disruptions, safeguard your relationships, and swiftly recover damages.

However, we never hesitate to aggressively litigate through trial when necessary, employing meticulous preparation, compelling evidence presentation, and robust courtroom strategies to achieve the best possible outcomes.

Immediate Steps if Interference is Suspected

When tortious interference is suspected, immediate, strategic action is crucial. Delaying response risks compounding harm and potentially weakens your legal position. Don’t wait, call an attorney, as you do, make sure to take some key steps first.

Key initial steps include:

  • Preserve Evidence: Immediately save all communications, contracts, emails, texts, and voicemails related to suspected interference.
  • Document Financial Impact: Carefully track lost revenue, disrupted relationships, canceled contracts, and any other tangible economic harm.
  • Limit Internal Discussions: Keep concerns limited to essential trusted personnel, avoiding premature public or internal accusations.
  • Engage Experienced Attorneys Promptly: Seek expert legal counsel quickly. Hopkins Centrich attorneys will rapidly evaluate the situation, preserve evidence, and craft a clear, proactive response strategy.

Act Quickly – Contact Hopkins Centrich

Hesitation in addressing suspected tortious interference can imply consent or complicity, potentially weakening your position. Swift, decisive intervention clearly demonstrates your resolve, immediately protects your business interests, and significantly enhances your legal recovery potential.

Hopkins Centrich’s aggressive litigation experience, strategic negotiation skills, and proven record uniquely position us to safeguard your business from tortious interference. Contact us immediately at the first suspicion—don’t wait until damages compound or critical relationships deteriorate beyond repair.

Act today. Protect your business and relationships by contacting Hopkins Centrich at the earliest indication of interference.