Is it legal for a manufacturer rep to tell other companies my credit situation?

UPDATED: Oct 2, 2022

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Is it legal for a manufacturer rep to tell other companies my credit situation?

I own a small business. I have a client that has not paid their 200k debt with me. So in turn I have a debt with the manufacturer. My debt is smaller than the client’s because the manufacturer is out for blood. I won a bid for a new builder and the rep stepped in and took it away from me because of the credit situation. I have an email where the builder said they met with the rep and discussed my credit situation. I am wondering if that is legal for him to do this. I have lost 3 builders this year because of this.

Asked on October 15, 2019 under Business Law, Florida


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

It is 100% legal. Anyone, including any business, may share any true/accurate information it knows about anyone else, even if such information is harmful to the person about whom it is being shared, unless there was some contract (i.e. a confidentiality or non-disclosure agreement) preventing them from doing so.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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