You own a manufacturing company that has a very profitable contract with a large retail chain. One of your competitors learns of your agreement and contacts the retail chain, telling them that your products are poorly manufactured and that the retail chain should refrain from buying your products. Instead, the competitor suggests that the retail chain enter into a contract with them to manufacture the products they seek. After this conversation, the retail chain cancels the contract with your manufacturing company, essentially breaching the contract, and begins buying their required merchandise from your competitor.
The products manufactured by your company are in fact very high quality products. There have never been complaints in the industry relative to the service or products that you provide. And, you have longstanding contractors with other retailers to support the quality of your product.
Under the law, you can sue both the manufacturing competitor and the retail chain for losses suffered. What legal claim would you make against the retail chain in this situation? What legal claim would you make against your competitor manufacturing company, with particular regard to the tort issues covered in this week’s materials.
From a damages perspective, what types of damages are recoverable and are you permitted to recover twice under the law?
Fully explain your answer.
(More than 250 Words)
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