Tortious interference with contract—also known as intentional interference with contractual relations or business expectancy—is a civil claim or cause of action based on interference with a contract or a prospective contract that is about to be completed—by a person or entity who is not a party to the contract (third party).

A claim for tortious interference is based on the idea that the third party encouraged or induced one of the parties to the contract to breach the contract, causing damages to the nonbreaching party, who may sue the third party to recover those damages or losses. In some states there is a requirement that the interference be done maliciously or without justification.

Laws regarding claims for tortious interference with contract vary from state to state. Some states have broadened the protections against interference beyond situations where there is an existing contract and recognize claims for interference with prospective economic advantage or business relations.

But whether there is an existing contract or not, some instances of interference will not create legal liability and will be recognized as legitimate competitive activity, for example.

In Georgia, tortious interference with a contract occurs when a third party, who is not part of an existing contract, intentionally and improperly interferes with the contract, causing one of the contracting parties to breach or fail to perform, which results in harm to the other party. The elements of this claim in Georgia typically include the existence of a valid contract, the third party's knowledge of this contract, intentional and improper action by the third party inducing or causing the breach, and damages resulting from the breach. Georgia law also recognizes a claim for tortious interference with business relations, which extends to interference with potential contracts or business expectancies that have a likelihood of being realized. However, not all interferences are actionable; actions that are considered legitimate competition or are done without malice may not constitute tortious interference. The specific nuances of these claims can be complex, and an attorney can provide guidance on the likelihood of success in a given case and the potential defenses that may be available to those accused of such interference.