KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE

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comment on tortious interference with economic expectation
August 23, 2018
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comment on tortious interference with economic expectation from August 20, 2018 article 
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Ken,
    In reference to tortious interference by another alarm company your recommendation is to go after the defaulting’ subscriber rather than the other alarm company. 
    Why not name them both in the same suit as co-defendants?
    Clearly if there’s a breach the subscribers on the hook but the other alarm company should know better since they are the professional in the field not to try to ‘poach’other alarm companies accounts that they are under contract with.
Thanks 
Danny
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Response
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    If you start one of these lawsuits and you name the other alarm company, you will learn very quickly why it's a bad strategy. The easy case is against the subscriber who breached your contract. That is unless the subscriber had justification for terminating the contract. There is a difference between breaching the contract and terminating the contract.     Not every termination is a breach of the contract. 
    What constitutes justification? Well, your breach of the agreement would be a sufficient bases for the subscriber to terminate the contract. You breach your contract by installing the system, or repairing the system, in a less than acceptable way. Your subscriber is usually not in a position to testify to your breach. Sure they know the system wasn't working, or wasn't working as they expected, but that testimony will pale in comparison to your expert testimony.
    Your subscriber is going to need an expert. By suing the other alarm company you unwittingly provided your subscriber with an expert alarm company, at no cost, because the alarm company is there protecting itself. By supporting the subscriber's right to terminate because of your breach of the contract, the alarm company not only establishes the subscriber's justification for termination, but gets off the hook for the tortious interferrence claim.
    You want to sue the other alarm company, then do it separately, not with your lawsuits against the subscribers. 
    You will also find that suing the subscriber alone will put the other alarm company under pressure because the subscriber is going to be caught in the middle and will likely complain to both alarm companies.
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Ken Kirschenbaum,Esq
Kirschenbaum & Kirschenbaum PC
Attorneys at Law
200 Garden City Plaza
Garden City, NY 11530
516 747 6700 x 301
ken@kirschenbaumesq.com
516 747 6700
www.KirschenbaumEsq.com