Legal Question in Business Law in Illinois

Business interference

I am president of PTS, a Delaware corporation, based in Illinois. We provide training and consulting services in computer, internet and project management subjects.

I have been accused of business interference by my former

employers because of a contract that I took over after their contract was terminated. This contract was with

a major University in the State of Michigan.

I would like know if my former employers have any cause for action.


Asked on 8/17/02, 7:22 am

2 Answers from Attorneys

A. Olusanjo Omoniyi Omoniyi Law Firm, P. C.

Re: Business interference

The facts and circumstances of your story raise a series of issues. First, assuming you are correct, we are dealing with a "terminated contract." Could your ex-employers ever raise an allegation that the termination of the contract could be linked to PTS? If yes, there could be some grounds for cause of action particularly if PTS was "involved" in the termination of the contract. If not, then the allegation may not hold water. Second, an additional ground for an interference cause of action is usually a generalized allegation that the ex-employee instigated/encouraged the customer (as part of his/her last act while leaving the ex-employers) to terminate the contract. In essence, did you as part of your leaving the ex-employer encourage the customer to terminate the contract. (Some people view this as part of efforts by some ex-employees to take their clients with them to the new employers). In summary, look at your new employers' role, your own role and other facts behind the termination of the contract. Your answers to the above issues should guide you temporarily to evaluate your facts. Then consult an attorney because there are possible series of interwoven laws associated with business interference particularly state laws.

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Answered on 8/18/02, 11:28 pm
Kenneth J. Ashman Ashman Law Offices, LLC

Re: Business interference

In this particular forum, there is simply not enough space to provide the type of detail necessary to inform an attorney fully of the facts of your situation, thereby making it quite difficult, if not impossible, to offer any significant advice.

For example, you state that your former employer has "accused" you of interfering with its contractual relationship. In what way and manner has the former employer "accused" you? Have you been sued?

Also, did you have contact with the customer during your prior employment, inform that customer that you intended on leaving your then-current employ in order to start your own business? If so, did you solicit the customer to switch to come to you?

You also have to consider what the ultimate testimony of those decisionmakers at the customer would be. Would your customer support a position that you did not solicit the customer to come to your new business either during the time of your prior employment?

In short, any attorney would need additional facts in order to help you with your situation.

-- Kenneth J. Ashman; [email protected]; www.lawyers.com/alo

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Answered on 9/02/02, 4:09 am


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