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 Utah, tortious interference with a contract or prospective business relations is recognized as a legitimate legal claim. To establish a claim for tortious interference with a contract in Utah, a plaintiff must prove the existence of a contract, knowledge of the contract by the interferer, intentional interference inducing or causing a breach of the contract, and resulting damages. Utah courts also recognize claims for interference with prospective economic relations, which protect business relationships that could potentially become contractual. However, the plaintiff must show that the interference was improper, considering factors such as the nature of the actor's conduct, the actor's motive, interests of the other parties, and the interests of the broader community. Utah law acknowledges that not all interferences are actionable, especially when they constitute legitimate competition. Actions that are done in good faith and as a part of normal business competition typically do not give rise to liability for tortious interference.