fraud

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Fraud

Any attempt to deceive another for financial gain. A clear example of fraud is selling a new issue that does not really exist. That is, the company can collect money from investors and, rather than use it to finance operations, pocket the money and do nothing. There are a number of types of fraud. Common types include forgery of documents, false claims in insurance, and filing bankruptcy to avoid debt rather than because of financial hardship.

fraud

Deception carried out for the purpose of achieving personal gain while causing injury to another party. For example, selling a new security issue while intentionally concealing important facts related to the issue is fraud.

fraud

the gaining of financial advantage by a person who deliberately deceives another person or business, by mispresenting himself.

fraud

A deceitful practice. Fraud consists of a misrepresentation of a material fact that is relied upon by another party to his or her detriment.There is no requirement that the misrepresentation be intentional.The thing misrepresented must be a fact; it is very difficult to prove fraud when one fails to fulfill his or her obligations but had good intentions in the beginning.

There are three types of fraud:

1. Intentional fraud. Punitive damages may be assessed for this type of fraud.

2. Negligent fraud. As when one makes a statement recklessly but without any intention to deceive, and someone relies on that statement and is injured when it turns out to be false. One example would be a real estate agent telling a buyer that all appliances are new when, in reality, the agent didn't know but thought they looked new. Depending on the degree of recklessness involved, this type of fraud may or may not support punitive damages.

3. Innocent fraud. As when one takes steps to confirm facts but is perhaps mistaken or given mistaken information, and then relays that information to someone else who relied on it and was injured.

The Statute of Frauds is a rule that says certain contracts must be in writing, including contracts having to do with real estate. It has nothing to do with fraud, per se, except to protect against possible fraud by requiring a writing.

References in periodicals archive ?
The investors holding the now worthless securities accused Andersen of violating provisions in both the Securities Act of 1933 and Illinois's consumer fraud act.
New research from Mercator Advisory Group, Proactive Consumer Fraud Communications: Don't Call Me, I'll Call You, examines how this paradigm is changing and looks at the impact this is having on contact center services, issuer support strategies, and direct-to-consumer apps.
The event follows a daytime workshop held by the FTC and Alabama NAACP to train members to share information with their communities about how to fight consumer fraud and educate consumers.
Fraud concerning the elderly continues to be a serious and growing problem in Florida," said Professor Rebecca Morgan, director of Stetson's Center for Excellence in Elder Law, adding that Stetson's program would educate senior consumers on how to spot fraud, how to avoid becoming a victim of consumer fraud, and what actions to take if they become victims.
The propriety of the punitive and consumer fraud damages awards was a legal issue of first impression since this was the first New Jersey case in which punitive and Consumer Fraud Act damages were awarded in a pharmaceutical case since the passage of the New Jersey Product Liability Act.
Jurors also agreed that Merck committed consumer fraud and awarded an additional $4,013.
It amounts to consumer fraud when you're selling what purports to be one thing and it's actually another,'' said Cam Currier, an aide to Supervisor Michael D.
The firm's cases typically involve dangerous or defective products, securities and investment fraud, consumer fraud and false advertising, employment discrimination and unlawful employment practices, aviation disasters, environmental damage and toxic exposures, antitrust and ERISA violations, and the abuse of human and civil rights.
Other topics include the Telemarketing and Consumer Fraud Abuse Prevention Act; the Telephone Consumer Protection Act; free-to-pay conversion offers; the National Do Not Call Registry; the Telemarketing Sales Rule; the safe harbor provision; the Negative Option Rule; junk faxes; the effect of anti-spam laws on e-mail campaigns; international regulations; and the FTC's Franchise Rule.
Bet Tzedek specializes in problems with SSI, Social Security, Medi-Cal/Medicare and other government benefits, consumer fraud, home-equity fraud, landlord-tenant issues, long-term care issues and more.
com/reports/c45039) has announced the addition of Consumer Fraud Class Actions With Steven Cooper of Anderson Kill & Olick P.

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