FAQ: Tortious Interference with Business Relations in New Hampshire – When Another Business Targets Your Customers, Contracts, or Opportunities
Business-to-business competition is expected. What is not expected—and often not legal—is when a competitor or other actor deliberately and improperly interferes with your existing contracts or prospective deals. New Hampshire law protects companies through the common-law tort of intentional interference with contractual or prospective economic relations (commonly called tortious interference with business relations).
Here are the most frequently asked questions for businesses that believe they have been targeted.
FAQ What is tortious interference with business relations in a commercial setting?
It occurs when one business (or individual) intentionally and improperly causes a third party not to enter into or continue a business relationship with your company, resulting in harm. This can involve existing contracts with customers, suppliers, distributors, or partners, or prospective deals that were reasonably expected to close. New Hampshire recognizes both interference with existing contractual relations and interference with prospective contractual or economic relations.
FAQ What must my company prove to win such a claim?
The elements under New Hampshire law are consistent:
- Your company had an economic relationship (contractual or prospective) with a third party;
- The defendant knew of that relationship;
- The defendant intentionally and improperly interfered with it; and
- Your company suffered damages as a proximate result.
Dennis S. Roberts v. General Motors Corporation :: 1996 :: New Hampshire Supreme Court Decisions :: New Hampshire Case Law :: New Hampshire Law :: U.S. Law :: Justia DONALD G. HUGHES & a. v. NEW HAMPSHIRE DIVISION OF AERONAUTICS & a. :: 2005 :: New Hampshire Supreme Court Decisions :: New Hampshire Case Law :: New Hampshire Law :: U.S. Law :: Justia Roberts v. General Motors Corp., 138 N.H. 532 (N.H. 1994) | HallApproved.com “Only improper interference is deemed tortious.” Courts look to factors in Restatement (Second) of Torts § 767, including the nature of the conduct, motive, the interests involved, and proximity of the interference.
FAQ Is ordinary competition protected?
Yes. The competitor's privilege (Restatement § 768) generally protects a rival who advances its own legitimate competitive interests without using wrongful means (fraud, threats, misappropriation of trade secrets, defamation, etc.) and without creating an unlawful restraint of trade. Mere aggressive sales efforts or truthful statements usually are not enough. Crossing into improper territory—such as using stolen customer lists, making false statements, or threatening economic harm beyond normal pressure—can eliminate the privilege.
Are there New Hampshire cases involving business-versus-business interference?
Yes.
Halifax-American Energy Co. v. Provider Power, LLC, 170 N.H. 569 (2018) https://law.justia.com/cases/new-hampshire/supreme-court/2018/2016-0241.html
the New Hampshire Supreme Court upheld jury verdicts for tortious interference with customer contracts and economic relations where competitors allegedly used misappropriated confidential information to poach customers. The plaintiffs recovered significant damages.
Alternative Systems Concepts, Inc. v. Synopsys, Inc., 229 F. Supp. 2d 70 (D.N.H. 2002) Alternative Systems Concepts, Inc. v. Synopsys, Inc., 229 F. Supp. 2d 70 (D.N.H. 2002) https://www.cetient.com/case/alternative-systems-concepts-inc-v-synopsys-inc-2396839 https://www.cetient.com/case/alternative-systems-concepts-inc-v-synopsys-inc-2396839 In Alternative Systems Concepts, Inc. v. Synopsys, Inc., 229 F. Supp. 2d 70 (D.N.H. 2002), a company sued a competitor that acquired its business partner and disrupted a distribution relationship and prospective long-term deal. The case thoroughly analyzed both existing and prospective interference claims under New Hampshire law (later reviewed by the First Circuit). Other useful authorities include M & D Cycles, Inc. v. American Honda Motor Co., 208 F. Supp. 2d 115 (D.N.H. 2002) (prospective economic advantage claims) and National Employment Service Corp. v. Olsten Staffing Serv., Inc., 145 N.H. 158 (2000) (discussing improper purpose versus lawful competition).
FAQ Is there a specific New Hampshire statute?
No. Tortious interference remains a common-law claim. The three-year statute of limitations under RSA 508:4 generally applies, running from when the claim accrues (typically when the interference and resulting damage occur). In some situations involving unfair methods of competition or deceptive acts, a parallel claim under the New Hampshire Consumer Protection Act (RSA 358-A) may be available, which can allow for enhanced damages and attorney's fees if the conduct is willful or knowing.
FAQ What rights and remedies does my business have?
If successful, your company can recover compensatory damages for lost profits, lost business opportunities, and other economic harm caused by the interference. In egregious cases involving malice, courts may consider enhanced compensatory damages. Injunctive relief is sometimes available to stop ongoing interference. Attorney's fees are not automatic under the common-law claim but may be recoverable under RSA 358-A if that statute applies.
FAQ What should a business do if it suspects interference?
Document everything: contracts, communications, lost opportunities, and evidence of the competitor's knowledge and improper methods. Preserve emails, customer correspondence, and internal records. Consult counsel promptly to evaluate the strength of the claim, potential defenses (including privilege), and strategy—whether demand letter, negotiation, or litigation. Healthy competition benefits the marketplace. Improper interference that destroys legitimate business relationships does not.
New Hampshire law gives companies tools to fight back when a competitor or malicious actor crosses the line. If your business has been harmed by another company's interference with contracts or prospective deals, contact an experienced New Hampshire business litigation attorney to discuss your options.
Call Attorney Levasseur at 603-622-7575 for a free over the phone consult. Attorney Levassuer understands business. With over 35 years owning multiple businesses Attorney Levasseur has real life experience that he can share with you. Give him a call.
Tags: tortious interference New Hampshire business, interference with contractual relations NH, competitor interference customers, business torts New Hampshire, Halifax-American Energy case, Alternative Systems Concepts v Synopsys, RSA 508:4, RSA 358-A, prospective economic relations, New Hampshire commercial litigation
Comments
There are no comments for this post. Be the first and Add your Comment below.
Leave a Comment