Court overturns decision that confused interference with contract and interference with business relationship
Knight Enterprises, Inc. sued RPF Oil Company and others, arguing that the re-branding of Knight's gas stations from Citgo to Shell caused a disruption of Knight's contracts with its suppliers. The Court ruled that the judge who ruled in favor of Knight erred by applying a negligence "interference with relationship" standard to the activities of RPF rather than the tougher, intentional interference with an existing contract standard.
The higher court concluded that while the defendant's actions may have been wrongful, they did not meet the higher standard of intentional culpability necessary to justify a judgment under Michigan law and overturned the trial judge's decision.