Roy Allan Slurry Seal, Inc. v. American Asphalt South, Inc.

During a three-year period, Defendant outbid Plaintiffs on twenty-three public works contracts to apply a slurry seal coating on various roadways in California. Plaintiffs jointly sued Defendant in five counties for intentional interference with prospective economic advantage. The Riverside complaint - the only tort action at issue in this appeal - alleged that Defendant won six public works contracts on which either plaintiff was the second lowest bidder and that Plaintiffs’ bids would have been accepted but for Defendant’s wrongful conduct during the bidding process. The trial court sustained Defendant’s demurrer to the entire cause of action. The appellate court reversed as to the tortious interference claim, determining that Plaintiffs’ pleading was adequate. The Supreme Court reversed, holding that the demurrer was properly sustained because, under the highly regulated circumstances regarding these public works contracts, Plaintiffs’ allegations were insufficient. View "Roy Allan Slurry Seal, Inc. v. American Asphalt South, Inc." on Justia Law