Chapter 5
Distinguish between direct inducement to breach of contract and indirect inducement to breach of contact.
An interference with contractual relations occurs when the defendant disrupts a contract that exists between the plaintiff and a third party. A direct inducement to breach of contract occurs when the defendant directly persuades a third party to breaks its contract with the plaintiff. Liability requires four factors: First, the defendant must know about the contract that exists between the third party and the plaintiff. Second, the defendant must intend to cause the third party to breach that contract. Third, the defendant must actually cause the third party to breaks its contract with the plaintiff. Fourth, the plaintiff must suffer a loss as a result of the defendant's conduct. An indirect inducement to breach of contract occurs when the defendant indirectly persuades a third party to break its contract with the plaintiff. Liability requires the same four factors plus proof that the defendant's actions were themselves unlawful.
Describe the elements of the rule in Rylands v Fletcher and explain how that tort involves strict liability
The rule in Rylands v Fletcher states that the defendant can be held strictly liable for their non-natural use of if something escapes from their property and injuries the plaintiff. First, the defendant must have made a non-natural use of their land. Some courts say this means to the use of land that creates a special danger, others say the defendant must create a special and unusual danger. Usually the second is used. Second, something associated with a non-natural use must escape from the defendant's land and cause the plaintiff to suffer a loss. Third, most torts are based on some form of fault. The defendant is only liable if they caused the plaintiff injury. Defences to the rule in Rylands v Fletcher -The plaintiff may have consented to the defendant's non-natural use of their land. - The escape may have been caused by a third part or a natural force that the defendant could not have guarded against. -The plaintiff's injury may have been the inevitable result of an activity that the defendant was statutorily authorised to do.
Describe the tort of conspiracy and explain the risks that arise when two or more companies plot together against another business
The tort of conspiracy usually occurs when two or more defendants agree to act together with the primary purpose of causing the plaintiff to suffer a financial loss. Competition among individuals is condoned by the law but becomes unlawful if numerous groups conspire against another individual.
Outline the elements of the tort of deceit
The tort of deceit occurs if the defendant makes a false statement, which they know to be untrue, with which they intend to mislead the plaintiff, and which causes the plaintiff to suffer a loss. There are four parts to the definition 1) The defendant must make a false statement, this includes half-truths, failure to update information and failure to divulge important information. 2) The defendant must know, at the time of making the statement that it is false. 3) The defendant must make the statement with the intention of misleading the plaintiff. 4) The defendant must suffer a loss as a result of reasonably relying upon the defendant's statement.The rule of "reasonably relying" has consequences: - The defendant's statement normally has to refer to a past or present fact. - Occasionally, a statement of fact may be implied by an opinion.
Explain why businesses are frequently in danger of committing the tort of defamation
The tort of defamation occurs when the defendant makes a false statement that could lead a reasonable person to have a lower opinion of the plaintiff. First, it can be satisfied even if the defendant did not intend to refer to the plaintiff. Second, a claim for defamation can be made by any sort of living person. Third, defamation may be difficult to prove if the defendant made a statement about a group of individuals. Slander- is a defamatory statement that is spoken Libel- is a defamatory statement that is written Publication occurs when a statement is communicated to a third party. Defences to defamation: Justification occurs if the defendant's statement is true Privilege is an immunity from liability. Absolute privilege provides a complete immunity. Qualified privilege apples whenever: 1) The defendant has a legal, moral or social obligation to make a statement. 2) The statement is made to someone who had a similar duty or interest in receiving it. Both of these elements must be satisfied Public interest responsible journalism occurs when a journalist, despite getting some facts wrong, acted in accordance with the standards of responsible journalism in publishing a story that the public was entitled to hear. It is guided by ten factors: 1) The seriousness of the allegation 2) Importance of subject matter 3) Reliability of the defendant's information 4) The steps take not verify the defendant's information 5) Whether the subject matter has already been investigated and reported 6) The urgency of the matter 7) Whether the publication offered the plaintiff any input 8) Whether the publication presented the plaintiff's side of the story 9) The general tone of the publication 10) The timing and overall circumstances of the publication A fair comment- is an expression of an opinion regarding a matter of public importance. The defence may apply if the court is satisfied on three elements: 1) The defence is intended to protect informed opinions 2) The defendant's opinion must concern an issue of public interest. 3) The opinion in question could be honestly be held. The focus falls not on the defendants actually beliefs, but rather on the beliefs that could honestly be held by some person- even if that person is prejudiced or opinionated. Remedies for defamation The usually remedy for defamation is compensation. Punitive damages may also be awarded if the defendant's conduct was particularly outrageous. An in truly exceptional circumstances a court may impose an injunction to prevent a person from even making a statement but only if it is clear that the statement would be defamatory.
Describe the tort of injurious falsehood.
The tort of injurious falsehood occurs when the defendant makes a false statement about the plaintiff's business that causes the plaintiff to suffer a loss. This tort has many forms: -Slander of Title: The defendant may falsely say that the plaintiff does not own a particular piece of land, therefore making it difficult for the plaintiff to del that property for its full value. -Slander of Quality: The defendant may falsely disparage the plaintiff's products in a way that causes potent customers to take their business elsewhere. -Other Situations the defendant may be held liable for making some other type of false statement about the plaintiff's business. The plaintiff must provide three elements: - False Statements: The defendant must make a false statement about the plaintiff's business or property. The statement must be made to a third party. - Malice: The defendant must have acted out of malice. If also appears to be enough if the defendant acted with the intent to hurt the plaintiff or knew the plaintiff was likely to be injured. - Loss: The defendant's false statement must have caused the plaintiff to suffer a loss. A court will therefore insist upon persuasive evidence that the defendant's injurious falsehood actually caused the plaintiff's loss.
Explain the two ways in which a business can commit the tort of intimidation
The tort of intimidation occurs when the plaintiff suffers a loss as a result of the defendant's threat to commit an unlawful act against either the plaintiff or a third party. The two types are: Two-party intimidation- Occurs when the defendant directly coerces the plaintiff into suffering a loss. Three-party intimidation- Occurs when the defendant coerces a third party into acting in a way that hurts the plaintiff. To prove a tort of intimidation: Firstly, the plaintiff must prove that the defendant threatened to commit an unlawful act. Secondly, the tort does not occur unless the threatened party gave in to the intimidation. Third, as long as the other elements of the tort are established, there is no need to prove that the defendant intended to hurt the plaintiff.
Outline the range of situations in which the courts may impose liability on a business for committing the tort of nuisance
The tort of nuisance occurs when the defendant unreasonably interferes with the plaintiff's use and enjoyment of their own land. Interference can happen in numerous ways: -Physical Damage - Smell or osund -Non-intrusive Courts also consider: -the nature of the neighbourhood - the intensity and duration of the interference - The social utility of the defendant's conduct - The defendant's motivation Defences to nuisance Statutory authority means that the defendant caused a nuisance while acting under legislation, however this applies only if the defendant's nuisance was an inevitable result of the statutorily authorised activity. Remedies for nuisance The most common remedies for nuisance are compensatory damages and injunctions.
Explain the rules that apply to occupiers' liability in your province or territory
The tort of occupier's liability requires an occupier of premises to protect visitors from harm. An occupier is any person who has substantial control over premises. A visitor is any person who enters onto premises. Premises include more than land, apartments and offices certainly count but occasionally, so do elevators, vehicles, ships, trains and airplanes. Occupiers Liability can be split into: 1) The common law rules ( which were made by judges) 2) The statutory rules (which were made by legislators) Common Law Rules: Had four types of visitors: Trespassers, licensees, invitees, and contractual entrants. The problems with this system are: 1) It can lump together different types of people 2) It is often difficult to distinguish between the different categories. 3) A visitor's status may change from one moment to the next. 4) It often is difficult to decide whether a danger is hidden or unusual. As a result common law was modified, First an occupier's obligations to protect trespasser has a number of factors including: age, reason for trespassing, the nature of the danger, the occupier's knowledge of that danger, the occupier's cost of removing that danger Second, licensees and invitees are now generally treated the same Third, the occupier must use reasonable care toward all lawful visitors Statutory Rules differ from common law rules in that: Statutory rules look at the activities that take place on the land in addition to the condition of the premises. Second, the standard of card depends on: The potential danger to the visitor The occupier's cost of removing the danger The purpose of the visit The nature of the premises Third, the statutes generally allow an occupier to avoid liability by issuing a warning. Fourth, under the common law, a landlord generally cannot be held liable for injuries that a person suffers while visiting a tenant.
Describe the tort of unlawful interference with economic relations
The tort of unlawful interference with economic relations may occur if the defendant commits an unlawful act for the purpose of causing the plaintiff to suffer an economic loss.