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Economic tort (1)

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28 June 2007 / Gregory Mitchell
Issue: 7279 / Categories: Features
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OBG ensures economic tort will stay well within its boundaries, says Gregory Mitchell QC

The decision of the House of Lords in OBG v Allan, Douglas v Hello!, Mainstream Properties v Young [2007] UKHL 21, [2007] All ER (D) 44 (May) is one of the most significant decisions on economic tort since Allen v Flood [1898] AC 1 and Quinn v Leathem [1901] AC 495—decided over 100 years ago. The expression “economic tort” is used in this article to refer to inducing breach of contract and unlawful interference with trade.

leading cases

Many of the leading cases on economic tort arise from the master/servant relationship and trade union activity. Lumley v Gye (1854) 3 E & B 114 concerned the opera singer Johanna Wagner being seduced into performing for another theatre. Allen v Flood arose from a bitter demarcation dispute between carpenters and “iron men”. Quinn v Leathem concerned an attempt to force a meat trader’s employees out of work in revenge for their earlier refusal to join a union. Thomson v Deakin [1952] 2

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