Business Law 11th Edition by Kenneth Clarkson,Roger LeRoy Miller,Gaylord Jentz,Frank Cross

Exercise 1

Bombardier Capital, Inc., provides financing to boat and recreational vehicle dealers. Bombardier's credit policy requires dealers to forward immediately to Bombardier the proceeds of boat sales. When Howard Mulcahey, Bombardier's vice president of sales and marketing, learned that dealers were not complying with this policy, he told Frank Chandler, Bombardier's credit director, of his concern. Before Chandler could obtain the proceeds, Mulcahey falsely told Jacques Gingras, Bombardier's president, that Chandler was, among other things, trying to hide the problem. On the basis of Mulcahey's statements, Gingras fired Chandler and put Mulcahey in charge of the credit department. Under what business tort theory discussed in this chapter might Chandler recover damages from Mulcahey Explain.