Question

List three examples of torts that can arise in a business context

subject=Legal Aspects of Transportation Management

Answer 1

Torts are the wrongful actions or conducts that harm the people or their property. Basically, there are 3 types of torts: international torts, negligence and strict liability.

Business torts are also known as economic torts and are defined as the wrongful actions conducted against the entities of business which can often lead to financial loss. Some of the business torts are:

(a) Theft of trade secrets : It is discussion of the trade secrets that a company was supposed to protect. It is accessing the information of the proprietor business unlawfully, mostly to gain improper competitive advantage over the business.

(b) Negligent misinterpretation - It is also known as fraudulent misinterpretation. It is referred to the false or unintentional statements made to make the other party enter into a contract. It is quite different from business fraud because in fraudulent misinterpretation, the plantiff of the defendant doesn't need to prove that the defendant was aware of the misleading or false statement. It can be a negligence tort or an intentional tort.

(c) Trade Libel - This occurs due to intentional publication of false or untrue information about the products or services of the business that results in loss of profits or revenue of the business. It is a form of defamation of a company's business. It is an intentional tort.

(d) Tortious Interference - It occurs when the one of the parties interferes with the business relationship of another party or unlawfully interferes with the contract which results in causing economic harm. It is an intentional tort.