ISSUE
Will a plaintiff be able to present a cause of action for tortious interference with a contract under Michigan law, which requires (1) the existence of a contract, (2) a breach of the contract, and (3) an unjustified instigation of the breach by a third party, where there was a contract for the sale of a restored property, the buyer breached this contract by refusing to complete the purchase, and a third party’s statements in a newspaper might have caused the breach?
BRIEF ANSWER Yes. Ms. Garcia likely has a cause of action for tortious interference with a contract. Michigan courts will look at three factors to determine whether Ms. Garcia has a sufficient cause of action for tortious interference with a contract: (1) the existence of …show more content…
Garcia’s contract obligated Mr. Karas to purchase the hotel from her once the restoration was complete. Mr. Karas’ refusal to purchase the property constitutes a breach of contract. A party breaches a contract when they fail to fulfill their obligation to the other party. See Wilkinson v. Powe, 1 N.W.2d 539 (Mich. 1942). (Holding farmers breached their contract with a milk carrier by switching carriers before the end of the term specified in the contract).
Just as the farmer’s contract in Wilkinson obligated them to use the milk carrier’s service, Mr. Karas contract obligated him to purchase the building from Ms. Garcia once she completed the restoration. If the farmers breached by switching carriers before the end of the contract term, then Mr. Karas breached by failing to purchase the restored building from Ms. Garcia. Therefore, the breach element of a tortious interference with a contract is satisfied.
Unjustified instigation of the breach by the defendant
Ms. Garcia can claim Mr. Granger unjustifiably instigated the breach. A defendant unjustifiably instigates a breach by intentionally doing a per se wrongful act, or doing a lawful act with malicious intent, to invade the contractual rights or business relationships of another. Knight Enters., 829 N.W.2d at
Will a plaintiff be able to present a cause of action for tortious interference with a contract under Michigan law, which requires (1) the existence of a contract, (2) a breach of the contract, and (3) an unjustified instigation of the breach by a third party, where there was a contract for the sale of a restored property, the buyer breached this contract by refusing to complete the purchase, and a third party’s statements in a newspaper might have caused the breach?
BRIEF ANSWER Yes. Ms. Garcia likely has a cause of action for tortious interference with a contract. Michigan courts will look at three factors to determine whether Ms. Garcia has a sufficient cause of action for tortious interference with a contract: (1) the existence of …show more content…
Garcia’s contract obligated Mr. Karas to purchase the hotel from her once the restoration was complete. Mr. Karas’ refusal to purchase the property constitutes a breach of contract. A party breaches a contract when they fail to fulfill their obligation to the other party. See Wilkinson v. Powe, 1 N.W.2d 539 (Mich. 1942). (Holding farmers breached their contract with a milk carrier by switching carriers before the end of the term specified in the contract).
Just as the farmer’s contract in Wilkinson obligated them to use the milk carrier’s service, Mr. Karas contract obligated him to purchase the building from Ms. Garcia once she completed the restoration. If the farmers breached by switching carriers before the end of the contract term, then Mr. Karas breached by failing to purchase the restored building from Ms. Garcia. Therefore, the breach element of a tortious interference with a contract is satisfied.
Unjustified instigation of the breach by the defendant
Ms. Garcia can claim Mr. Granger unjustifiably instigated the breach. A defendant unjustifiably instigates a breach by intentionally doing a per se wrongful act, or doing a lawful act with malicious intent, to invade the contractual rights or business relationships of another. Knight Enters., 829 N.W.2d at