The appellants appealed a trial judgment finding them liable for defamation, intentional interference with economic relations, and inducing breach of contract arising from the peremptory removal of the respondent from a military aerospace consulting project.
The Court of Appeal clarified the elements of intentional interference with economic relations and inducing breach of contract, adopting the House of Lords' approach in OBG v. Allan.
The court held that unlawful means for intentional interference must be directed at a third party and not directly actionable by the plaintiff.
While the trial judge erred in using defamation directly actionable by the plaintiff as unlawful means, the court upheld liability based on a conspiracy against a third party and breach of contract.
The court also confirmed that inducing breach of contract requires an actual breach, not mere frustration.
The appeal was dismissed and the damages awards were upheld.