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"The only thing necessary for the triumph of evil is for good men to do nothing"
Edmund Burke


This information is taken directly from the court opinion. It is not taken out of context nor is it altered.
From Graham Webb Intl v Emporium Drug Mart, 916 F.Supp. 909 (E.D. Ark 1995)

Graham Webb's final claim asserts that Drug Emporium knew of Graham Webb's advantageous economic relationship with Heil, and that Drug Emporium has intentionally and unlawfully interfered with that relationship. Graham Webb claims that Drug Emporium's wrongful interference has caused and, unless enjoined, will continue to cause Graham Webb substantial damage.

Arkansas law recognizes that persons may sue for tort damages when their business has been tortiously interfered with by a third party. Benny M. Estes & Assoc., Inc. v. Time Insurance Co., 980 F.2d 1228 (8th Cir.1992). The basic elements of tortious interference are (1) the existence of a valid contractual relationship or business expectancy; (2) knowledge of the relationship or expectancy on the part of the interferer; (3) intentional interference inducing or causing a breach or termination of the relationship or expectancy; and (4) resultant damage to the party whose relationship or expectancy has been disrupted. Shakey's Inc. v. Caple, 855 F.Supp. 1035, 1046 (E.D.Ark.1994) (citing Nicholson v. Simmons First National Corp., 312 Ark. 291, 849 S.W.2d 483, 487 (1993)).

The Court has carefully considered the matter and concludes that the record in this case does not establish a viable tortious interference claim. Even assuming Graham Webb could establish the first three elements of a tortious interference claim, the Court has determined there is no basis in the record for concluding that any lost sales from professional salons would be greater than the increased revenue resulting from the availability of the product in ordinary retail outlets. Graham Webb has thus failed to establish the requisite element of damage from Drug Emporium's actions.

In any case, the actions of Drug Emporium in stocking and selling Graham Webb products with the batch codes removed and without professional consultation are supported by a reasonable interpretation of existing law regarding trademark infringement. That being so, Drug Emporium's actions cannot give rise to a claim of tortious interference. See Union Nat. Bank v. Federal Nat. Mortg. Ass'n, 860 F.2d 847, 857-58 919 (8th Cir.1988).[6] Acting in a manner consistent with that permitted by law does not constitute evidence of intent to interfere with Graham Webb's business relationship with Heil. See id.

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