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Business Torts
Business Tort Attorney in Arizona
When someone outside a contract wrongfully harms your business, that is not a contract claim, it is a tort. Arizona law gives businesses real remedies for this kind of harm.
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What Is a Business Tort?
Quick answer: A business tort is a wrongful act that harms a business or its economic interests outside the context of a contract, unlike a breach of contract claim, a business tort does not require an existing agreement between the parties. Common examples include trade secret misappropriation, unfair competition, business disparagement, and civil conspiracy.
On This Page
How Business Torts Differ From Breach of Contract
A breach of contract claim requires an agreement between the parties that one side failed to honor. A business tort claim does not, it addresses wrongful conduct, sometimes by a stranger to any contract, that damages your business’s interests, reputation, or economic relationships.
Awards & Recognition
Founding Partners Michael Tamou and Simon Touma’s business tort litigation work has been independently recognized, earned, never purchased.
Trade Secret Misappropriation
Under the Arizona Uniform Trade Secrets Act, A.R.S. § 44-401 et seq., a trade secret is confidential business information that has independent economic value from not being generally known and is subject to reasonable efforts to keep it secret. Misappropriation, theft, improper acquisition, or unauthorized use or disclosure, of a trade secret is a serious business tort, generally subject to a three-year statute of limitations.
Unfair Competition
This broad category covers wrongful business practices, deceptive trade practices, passing off one company’s goods as another’s, and other conduct that unfairly undermines a competitor, separate from ordinary, lawful competition.
Business Disparagement and Trade Libel
False statements made about a business’s products, services, or practices that damage its reputation and cause economic harm can support a business disparagement (trade libel) claim, distinct from personal defamation.
Civil Conspiracy
When two or more parties agree to accomplish an unlawful purpose, or a lawful purpose through unlawful means, and that agreement causes damage, a civil conspiracy claim can hold all participants liable, even those who did not directly commit the harmful act.
Related Business Torts With Their Own Dedicated Pages
Tortious interference with contract or business relationships, and fraud and misrepresentation, are also business torts, common enough that we cover them in depth on their own pages: Tortious Interference Litigation and Fraud and Misrepresentation Litigation.
Your business was harmed outside of a contract in Arizona? Talk to our litigation team before you respond.
Call 602-932-6010What You Can Recover
Remedies & Damages
Arizona law allows a range of damages for business torts, depending on the specific claim and conduct involved.
Economic Damages
Lost profitsDocumented losses
Lost business valueCase-specific
Trade Secret Remedies
Injunctive reliefStop ongoing use
Unjust enrichmentDefendant’s gain
In Egregious Cases
Punitive damagesWillful/malicious conduct
Exemplary damages (trade secrets)Willful misappropriation
Injunctive Relief Often Matters More Than Damages
In trade secret and unfair competition cases, stopping ongoing harm quickly through an injunction can matter more than the eventual damages award, timing is critical.
How These Disputes Get Resolved
Litigation Strategy
Business Torts We Litigate
Trade secret misappropriation: theft or misuse of confidential business information.
Unfair competition: deceptive or wrongful competitive practices.
Business disparagement: false statements harming your business’s reputation.
Civil conspiracy: coordinated wrongful conduct by multiple parties.
Common Questions
Business Tort Attorney in Arizona FAQs
Can I sue someone who isn’t a party to any contract with me?
Yes, that is exactly what distinguishes a business tort claim from a breach of contract claim, no existing agreement is required.
What counts as a trade secret in Arizona?
Information with independent economic value from not being generally known, that you have taken reasonable steps to keep confidential, under A.R.S. § 44-401.
How long do I have to bring a trade secret claim?
Generally three years under Arizona’s Uniform Trade Secrets Act.
Is all aggressive competition unlawful?
No, ordinary competition, even aggressive competition, is lawful. Unfair competition claims target specifically wrongful or deceptive practices, not just losing business to a rival.
Can I get an injunction to stop someone from using my trade secret?
Often yes, injunctive relief is a common and important remedy in trade secret misappropriation cases.
Key Takeaways
- Business torts address wrongful harm to your business outside of any contract.
- Trade secret misappropriation is governed by Arizona’s Uniform Trade Secrets Act, A.R.S. § 44-401.
- Unfair competition and business disparagement protect against specific wrongful conduct, not ordinary competition.
- Injunctive relief is often as important as damages in stopping ongoing harm quickly.
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Arizona Litigation Group · Phoenix Office
The information on this page is for general informational purposes only and is not legal advice. No attorney-client relationship is formed by reading this page or submitting a contact form. Past results do not guarantee a similar outcome.
